(6.) The federal disproportionate share hospital
program provides funding to hospitals to partially cover the costs of treating indigent patients.
The Medicaid Disproportionate Share Hospital
(DSH) program is a major funding source for safety-net hospitals and provides funding to support free and discounted care for uninsured and Medicaid patients.
The funds were connected with the Disproportionate Share Hospital
(DSH) payment program.
DSH CUTS: Another important factor for Missouri is that the new law would reduce Disproportionate Share Hospital
(DSH) payments to the state for uninsured patients.
In an additional item related to federal government reimbursement, Tenet said it expects to record a $2 million unfavorable Medicare disproportionate share hospital
Supplemental Security Income (SSI) adjustment in the quarter ended March 31, 2012 related to CMS's recently released SSI ratios.
These are cost variations beyond each hospital's control and include an index to reflect local wage levels for hospital labor, an index to reflect higher costs of living (COLA) in Alaska and Hawaii, and a payment add-on for being a teaching hospital (indirect medical education or IME), for providing a disproportionate share of care to low income patients (disproportionate share hospital
or DSH), or for treating cases with extraordinary costs (outliers).
Medicare and disproportionate share hospital
payments are expected to be reduced by $121.5 billion and $36.1 billion, respectively, on an annual basis.
Transplant hospitals will be hard-pressed by Medicare payment reductions and lowered Disproportionate Share Hospital
payments for uninsured care.
These supplemental payments are referred to as disproportionate share hospital
19, which sets forth the data elements necessary to comply with the requirements of Section 1923 (j) of the Social Security Act (Act) related to auditing and reporting disproportionate share hospital
payments under State Medicaid programs.
A small percentage of this amount is covered by philanthropy and disproportionate share hospital
payments (payments intended to offset losses hospitals incur when large shares of their patients are unable to pay their hospital bills).