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NAPH Calls on Congress, President to Reject Limits on States’ Use of Provider Taxes

FOR IMMEDIATE RELEASE
May 31, 2012

Statement attributable to:
Bruce Siegel, MD, MPH
President and Chief Executive Officer
National Association of Public Hospitals and Health Systems

WASHINGTON—”Suggestions by House and Senate Republican leaders to revise the Medicaid provider tax threshold to balance the cost of extending Stafford student loan rates threatens a safety net health care system already under financial stress.

“More than 40 states now use provider taxes to fund and maintain stable, functioning Medicaid programs—assessments supported by safety net hospitals. Limiting a state’s ability to levy taxes will shift greater health care costs onto cash-strapped states and, ultimately, onto local governments, providers, and beneficiaries. Financing the Stafford loan rate extension in this manner could be a hollow victory for many low-income students, who also would see associated reductions in Medicaid coverage, services, and access to providers.

“NAPH and its members urge Congress and the administration to reject further limits on provider assessments, which would hurt millions of beneficiaries who rely on Medicaid for essential health care services.”

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About the National Association of Public Hospitals and Health Systems (NAPH)
NAPH represents the nation’s largest metropolitan hospitals and health systems that fulfill a safety net mission of providing high volumes of care to low income individuals. These facilities provide high-quality health services for all patients, including the uninsured and underinsured, regardless of ability to pay. In addition to functioning as the country’s default national health insurance system, safety net hospitals provide many essential community-wide services, such as primary care, trauma care, and neonatal intensive care. Safety net hospitals also train many of America’s doctors, nurses, and other health care providers. Since its inception in 1980, NAPH has cultivated a strong presence on Capitol Hill, with the executive branch, and in many state capitols. NAPH advocates on behalf of its members on such issues as Medicaid, Medicare, and access to health care services for vulnerable populations. For more information, visit our website at http://www.naph.org/.

Media Contact:
Carl Graziano
(202) 585-0102

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