Cms issued a proposed rule thursday that lays out a methodology for implementing cuts to medicaid cms moves forward with 43b in dsh payment cuts cms proposed a methodology that would . While the statute requires reductions in fy 2014 through fy 2020 the rule includes the proposed methodology for just the first two years allowing cms to revisit the methodology before the more substantial cuts occur in 2017 overall dsh will be reduced by 181 billion but these cuts are back loaded in fy 2014 dsh payments are reduced by . Cms has published a proposed rule on medicaid disproportionate share hospital payments in which hospitals and health systems that treat high volumes of low income populations would lose billions . The american hospital association aha and dozens of doctors and hospitals have asked cms to delay proposed cuts to medicaid disproportionate share hospital dsh payments arguing reductions would hamper safety net hospitals and criticizing how the payments would be calculated. The aca included cuts to the medicaid dsh program totaling 181 billion beginning in fiscal year fy 2014 through fy 2020 in the proposed rule cms provides details on the dsh health reform methodology that the agency will use to determine the amount of reduction to each states dsh allotment for fys 2014 and 2015
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