02/05/2026
๐๐๐ฌ๐ ๐: The end of the government shutdown on Tuesday brought several pieces of welcome news for hospitals, including lawmakers erasing two yearsโ worth of long-festering, long-postponed Medicaid Disproportionate Share Hospital cuts.
The funding package funds most of the government through the rest of fiscal year 2026, which ends on Sept. 30. It erases the planned DSH cuts for fiscal years 2026 and 2027, leaving only the reductions scheduled for FY 2028. Also in the funding deal:
๐ต The Low-Volume Adjustment and Medicare-Dependent Hospital programs, which provide enhanced payments for financially unstable rural hospitals, were both extended through the rest of 2026.
๐ต The Acute Hospital Care at Home Program is extended through 2030.
๐ต Flexible telehealth policies introduced as part of the COVID-19 pandemic will be in effect through 2027.
These results were the culmination of more than a yearโs worth of advocacy work by THA. Hospital advocates helped keep these issues on the minds of the Texas congressional delegation and worked with like-minded lawmakers such as Rep. Dan Crenshaw, who helped lead the charge for Congress to address the DSH cuts.
๐ Details can be found below:
Summary of H.R.7148 - 119th Congress (2025-2026): Consolidated Appropriations Act, 2026