The House passed legislation (H.R. 1868) last week to extend the moratorium on the 2% across-the-board Medicare payment cuts—also known as Medicare sequestration cuts—to all providers that serve Medicare patients through the end of 2021. President Joe Biden signed it into law shortly thereafter.
Approved by the Senate in March, the bill extends sequestration, which is scheduled to expire at the end of fiscal year 2030, by five-and-a-half months. The bill provides $239 million in financial relief to GNYHA hospitals. Hospital-specific estimates for GNYHA members is attached.
The Centers for Medicare & Medicaid Services delayed processing Medicare claims with dates-of-service starting April 1 (when the moratorium was scheduled to expire) in anticipation of final action on the bill.
GNYHA is grateful for the bicameral, bipartisan efforts of House and Senate leaders, especially Senate Majority Leader Chuck Schumer (D-NY), for providing relief to frontline caregivers. The bill helps mitigate the pressure of COVID-19 on hospitals and health care providers that are being stretched thin by the ongoing pandemic.