As the 108th Congress began last week, GNYHA members traveled to Washington for Teaching Hospital Advocacy Day to urge Congress to stop damaging Medicare cuts that took effect on October 1, 2002, affecting hospitals, continuing care providers, and other health care providers. Providers expressed the critical need for Congress to pass relief now while finishing up the remaining fiscal year 2003 appropriations bills. House members were also asked to sign a letter to Speaker Dennis Hastert and Democratic Minority Leader Nancy Pelosi, urging them to act immediately to reverse Medicare cuts. With the Republican leadership's call for a "clean" appropriations package, however, Medicare relief may come in the form of a separate bill that would include Medicare relief for physicians and Medicare+Choice plans. With the Senate Republicans under the new leadership of Tennessee Senator Bill Frist, Medicare issues may likely move up on the Senate's priority list.

Another issue of concern includes what, if anything, Congress will do to assist states with increasing Medicaid costs. Bush Administration officials recently indicated modest support for assisting states in shoring up an expected $75 billion in budget deficits across the country, but nothing was included in President Bush's economic stimulus plan. Democrats included a one-year increase in the Federal Medicaid match in their economic stimulus proposal. It is possible that both Medicare and Medicaid relief will not come until Congress debates a Medicare prescription drug bill much later in the year, which will cause financial hardship for health care providers who are already reeling from the cuts that took effect in October 2002.

The members of the New York Congressional Delegation continue to be leaders on both Medicare and Medicaid issues, for which GNYHA is extremely grateful. On Teaching Hospital Advocacy Day, GNYHA met with Congressmen Vito Fossella (R-NY) and Jerry Nadler (D-NY), and with Representatives Peter King (R-Seaford) and Carolyn McCarthy (D-Mineola), all of whom are very supportive of New York's health care providers. In addition, GNYHA President Kenneth E. Raske met recently with leaders of the Senate Finance and Ways and Means Committees, including Senator Max Baucus (D-MT) and Congresswoman Nancy Johnson (R-CT)to make the case for Medicare relief. GNYHA will continue to work with the New York delegation and others to ensure that the leadership in Washington receives the message that immediate relief is critical to health care providers.

Ads Urge Congress to Act Now: The Coalition to Protect America's Health Care, a national coalition of hospitals, hospital associations, and businesses (of which GNYHA is a member) ran a compelling print ad last week in a number of Washington, D.C., publications urging Congress to pass legislation to resolve the funding crisis in America's hospitals. To view the ad, log on to www.protecthealthcare.org. In addition, GNYHA, the American Hospital Association, the Association of American Medical Colleges, and teaching hospitals and hospital associations across the country launched a new print ad last week (see story on page 1).