U.S. Senator Deb Fischer (R-Neb.), along with U.S. Representatives Mike Flood (NE-01) and Adrian Smith (NE-03), introduced legislation to support rural hospitals. The Supporting Access to Rural Community Hospitals Act of 2024 grants rural hospitals flexibility when choosing reimbursement models so they have greater financial sustainability.
Currently, hospitals designated as Critical Access Hospitals (CAH) receive cost-based reimbursement for all services to address the needs of their rural communities. Hospitals in the Rural Community Hospital Demonstration (RCHD) program only receive cost-based reimbursement for some services, while maintaining a higher number of beds.
Our legislation grants RCHD hospitals an optional, one-time election period to designate themselves as a CAH and meet the necessary eligibility requirements. This bill gives these essential hospitals the opportunity to choose between these two beneficial federal programs and enables them to continue serving their communities.
“Across Nebraska, rural community hospitals have an essential role — providing health care services to those in need. Our legislation ensures that rural hospitals remain sustainable by giving them the option to choose the program that best suits their current needs. I look forward to working with my fellow Nebraska colleagues as we champion this legislation in both the House and the Senate,” said Senator Fischer.
“Rural community hospitals are the backbone of healthcare across vast areas of Nebraska and the country. By giving these hospitals the ability to determine their future in the Rural Community Hospital Demonstration program, these facilities will be able to better meet their needs and the needs of the communities they serve, while also still delivering quality care to patients. Providing this option to hospitals currently in the RCHD program has the potential to unlock additional funding, empowering hospitals to expand and improve the services they provide. I am grateful to my fellow Nebraska colleagues, Congressman Smith and Senator Fischer, for their willingness to help lead this effort,” said Representative Flood.
“Medicare hospital designations are intended to optimize healthcare access for patients and provide community hospitals appropriate flexibility to meet the unique needs of the regions they serve. This bill would provide an opportunity for certain rural community hospitals to re-align their designation in order to best meet the needs of their communities long into the future. I appreciate the opportunity to work with Rep. Flood to ensure Columbus Community Hospital remains best-situated to continue serving patients from Nebraska’s First and Third Districts and thank Sen. Fischer for her efforts to bring like legislation in the Senate,” said Representative Smith.
The full text of the legislation can be viewed here.