WASHINGTON, DC-- Congresswoman Marcia L. Fudge (OH-11) and Judy Chu (CA-32) led a letter, with 36 members of the House of Representatives, urging payroll conferees not to cut Medicare in a manner that would reduce payments to the nation’s urban safety-net hospitals to pay for the extension of payroll tax relief and unemployment compensation benefits, restoration of Medicare payments to physicians, and other matters.  The letter was addressed to Congressman Dave Camp (MI-04), Chairman of the House Committee on Ways and Means, and Congressman Max Baucus (D-MT), Chairman of the Senate Committee on Finance.

View Letter Here

"These urban safety-net hospitals play a vital role in the overall American health care safety net.  They care for especially large numbers and proportions of Medicaid, low-income Medicare, and uninsured patients in cities large and small across the country and therefore are far more dependent on Medicare and Medicaid than the typical American hospital.  At the same time, they are an important source of jobs for the residents of the low-income areas in which they are located – good jobs that help stabilize families and stabilize communities," stated members in the letter.

"I completely support extending the payroll tax holiday, for 160 million Americans, and unemployment benefits to those still struggling to find a job as well as making sure doctors are appropriately compensated, but we must be cautious of taking money from funds for safety net hospitals in order to accomplish those goals.  These hospitals serve a vital purpose in our communities and we must ensure they have the proper support to continue to provide for patients who are most in need," said Congresswoman Fudge.    

The MetroHealth System

John R. Corlett, Vice President, Government Relations and Community Affairs:

“Reductions in funding to MetroHealth would jeopardize the level of services we provide to our most vulnerable Cuyahoga County residents, threatening the gains we are starting to achieve through care coordination.  Safety net hospitals like MetroHealth, who serve a larger percentage of uninsured and low-income patients than other providers, would be disproportionately harmed by cuts that are being proposed by some in Washington.”

Sisters of Charity Health System

Judith Ann Karam, President and CEO Sister:

“Urban hospitals like those in our Sisters of Charity Health System are anchors and economic engines in our center cities.  We are safety-nets: our patients are often disproportionally covered by public health insurance like Medicare and Medicaid or have no insurance at all.  Our margins are razor thin; we do not have the cushion to absorb these reductions.   We face a two percent Medicare reduction with the Budget Control Act’s sequestration, and because Medicaid and often Medicare do not cover costs, we absorb losses every day when treating the beneficiaries. Reductions in payments to hospitals for assistance to low-income Medicare beneficiaries, like those being debated, affect safety-net facilities more for we serve more low-income seniors than many other hospitals.  We rely on Medicare to carry out our healing mission. Future cuts to Medicare undermine our ability to provide the care our patients need.  During this time of financial downturn, like those we serve, our economic security is also vulnerable."

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