Lawmakers Introduce Bipartisan Legislation to Support Rural Hospitals Facing Financial Strain
Lawmakers in the U.S. Senate and House of Representatives have introduced bipartisan legislation aimed at supporting rural hospitals facing financial difficulties. The Save Struggling Hospitals Act, introduced by Reps. David Kustoff and Terri Sewell, along with a companion bill by Sens. Mark Warner and Marsha Blackburn, seeks to ensure fair Medicare reimbursements for rural hospitals. The legislation proposes to codify the Centers for Medicare and Medicaid Services' low-wage index hospital policy, which was overturned in 2024, to increase reimbursements for hospitals in the bottom 25th percentile of wage indexes. This move comes as rural hospitals continue to close at alarming rates due to financial strain, exacerbated by the flawed Medicare Area Wage Index. The introduction of this act is seen as a critical step to help these hospitals remain operational and provide essential healthcare services.