Hospitals propose keeping fee in exchange for no Medicaid rate cuts

The Ohio Hospital Association has proposed a plan to Gov. John Kasich that would keep the current hospital franchise fee that the organization once vocally opposed in exchange for a promise that Medicaid reimbursement rates would not be cut (Source: “Hospitals make Ohio Gov. Kasich a deal on Medicaid: keep paying fee in return for no rate cuts,” Cleveland Plain Dealer, Feb. 21, 2011).

"We're not asking for an increase [in reimbursement rates], just hoping to not get cut," said Ryan Biles, vice president of fiscal policy for OHA.

Greg Moody, the director of the Governor’s Office for Health Transformation, said the offer will be taken under consideration as the Administration finalizes it’s budget plan.

"I can't really speak to the detail or to our final assessment of it but I would say it appears promising and very constructive to our process that they brought this forward," Moody said. "Like I said before, everything is on the table. And we will work to package things in ways that are reasonable for each provider group.”