Senators urge Centers for Medicare and Medicaid Services to extend Low wage Index Hospital policy

U.S. Sens. Roger Wicker (R-MS) and Cindy Hyde-Smith (R-MS) are among a group of lawmakers seeking to secure a four-year extension of a Medicare policy that allows rural hospitals to continue delivering quality care to their communities.

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The senators sent a letter to Centers for Medicare and Medicaid Services (CMS) Administrator Chiquita Brooks-LaSure requesting an extension of the Low Wage Index Hospital Policy. This policy allows rural hospitals to compete for and retain high-quality staff by increasing reimbursements to hospitals in rural areas with lower overall wages.

Without an extension, Medicare payments to these hospitals will decrease after Sept. 30, 2023.

“Unfortunately, due to disruptions in the marketplace caused by the COVID-19 pandemic, we have not had the opportunity to see the true impact of the Low Wage Index Hospital Policy envisioned by CMS,” the senators wrote in the letter. “Extending the Low Wage Index Hospital Policy for four additional years will allow hospitals and the agency to better understand the policy’s true impact in a more normal environment.”

It was signed by Wicker and Hyde-Smith, along with Sens. Mark Warner (D-VA), Marsha Blackburn (R-TN), Tim Kaine (D-VA), Tommy Tuberville (R-AL), Joe Manchin (D-WV), John Boozman (R-AR), Shelley Moore Capito (R-WV), Bill Hagerty (R-TN), James Lankford (R-OK), Tim Scott (R-SC), Tom Cotton (R-AR), and Katie Boyd Britt (R-AL).

“The continuation of this critical policy will allow hospitals to recruit and retain health care staff and protect access to care for millions of Americans,” the letter concluded.