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Senate of Pennsylvania
Session of 2019 - 2020 Regular Session


Posted: July 2, 2020 02:38 PM
From: Senator Sharif Street
To: All Senate members
Subject: High Medicaid Public Payor Dependent Hospital Assistance
In the near future, I plan to introduce legislation appropriating $500 million of CARES Act Coronavirus Relief Funds to hospitals across the Commonwealth which are highly dependent on Medicaid and Medicare payments as a percent of net patient revenue.

These public payor dependent hospitals serve some of our poorest and most vulnerable communities. They are located in high density areas like North Philadelphia, distressed towns outside of Pittsburgh, and rural communities across the Commonwealth. They are on the front lines of the fight against COVID-19 and often are the major economic engines and largest employers in their communities. Even before this unprecedented health crisis, these institutions faced shared challenges regardless of their size and location. They provide critical services for some of the most medically and socially complex patients in the Commonwealth while also struggling with financial instability due to structural funding levels that are generally below the overall cost of care. 

It is imperative that we ensure our hospitals have enough funding to continue to provide vital care and services to those in need -- especially those hospitals that deal with an above average number of patients relying on Medicaid and Medicare. These are our most vulnerable citizens and the services they require are essential. Currently, there are 88 institutions across Pennsylvania at or above the statewide average of public payor dependency that would be eligible for funding. We should ensure that they can continue to serve the people of our Commonwealth.

I encourage members to join me in co-sponsoring this important legislation. If you have any questions, contact my Policy Director, Micah Mahjoubian at micah@pasenate.com.

Introduced as SB1238