On March 6, the House committees on Energy and Commerce and Ways and Means released their long-awaited legislation to repeal and replace the Affordable Care Act (ACA).

The Energy and Commerce legislative text, which has jurisdiction over all Medicaid provisions, would make significant changes to the program. Specifically, the legislation would:

  • phase out enhanced funding for Medicaid expansion states;
  • impose a per-capita cap on state Medicaid plans; and
  • eliminate Medicaid disproportionate share hospital payments over time, starting with states that did not expand Medicaid, and later for expansion states.

The Ways and Means legislative text, which makes changes to the tax provisions under the ACA, would repeal the individual and employer mandates, as well as create an age-based tax credit ranging from $2,000 to $4,000 for individuals to purchase annual health plans.

America’s Essential Hospitals issued a media statement shortly after release of the texts on Monday evening. Since then, the association also has issued an Action Update and a section-by-section overview of the bills. The House committees will begin marking up the legislation March 8, at 10:30 a.m.