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Related Information

Message Points
On state legislative priorities (Apr 2015)

HAP Memo 15-07
HAP state budget analysis confirms several threats to hospital payments (Mar 2015)

HAP Memo 15-04
State budget release (Mar 2015)

Fact Sheet
About supplemental Medicaid payments in Pennsylvania

Fact Sheet
Facts about Pennsylvania's critical access hospitals

In Critical Condition: The Fragile State of Critical Access Hospitals

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Proposed State Budget Eliminates Important Hospital Funding

Governor Tom Wolf introduced his 2015–2016 proposed state budget which calls for $29.9 billion in general fund spending—with 22.8 percent of state spending targeted for Medical Assistance health care and long-term living services.

The proposed budget cuts direct supplemental payments to hospitals for burn centers, obstetrical/neonatal units, and rural critical access hospitals—a loss of $36.5 million in total funds.

There are six accredited burn centers that rely on these additional payments in order to handle complex, high-cost cases, many from other parts of the commonwealth and other states.

Each year, more than 138,000 babies are born in Pennsylvania. Medical Assistance funds nearly half of all births.

Thirteen critical access hospitals provide essential medical care to rural communities. These hospitals are in fragile financial condition, as most patients are covered by public payers like Medicaid and Medicare that historically underpay.

HAP will be seeking to restore this vitally needed funding for hospitals and prevent any further reductions as the General Assembly and the Administration address the revenue package.

Related News

April 22, 2015

Secretary of Human Services Nomination Moves to Senate for Consideration

The Senate Public Health and Welfare Committee voted unanimously to report Ted Dallas’ nomination as Secretary of Human Services to the full Senate for consideration.

April 13, 2015

Commonwealth Court Upholds Lower Court’s Ruling on Tobacco Settlement

The Commonwealth Court issued a ruling affirming a ruling of the Philadelphia Court of Common Pleas. The lower court had voided a portion of the reduction in payments the state would receive from the major tobacco companies participating in the Tobacco Master Settlement Agreement.

April 08, 2015

Pennsylvania Hospitals Face Significant Cuts in Budget; Budget Process Likely to Be Protracted

After further analysis of Governor Wolf’s proposed state budget, HAP can confirm that hospitals and health systems face a total of $166.5 million in cuts (state and federal) in the budget.

View all State Funding News

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