Senators Dan Sullivan, Lisa Murkowski, and Brian Schatz (D-Hawaii) introduced the Save Our Lone Emergency Services (SOLES) Act and the Ensuring Outpatient Quality for Rural States Act this week to increase Medicare reimbursement for rural hospitals in Alaska and Hawaii.
Historically, rural and noncontiguous states have faced significant cost disparities for Medicare reimbursement that drive up hospital and patient costs.
These bills would recognize the unique cost-of-living challenges rural hospitals face. They would increase reimbursement for critical access and sole community hospitals that serve Medicare-enrolled seniors in areas where other emergency or healthcare services are unavailable.
The legislation follows a letter Sullivan and Murkowski sent to the Department of Health and Human Services requesting more reimbursement-rate flexibility for Medicare inpatient procedures in Alaska and Hawaii.
Sullivan stated, “The federal government’s one-size-fits-all Medicare formulas are not working for rural states like Alaska and Hawaii.”
“Providing high-quality health care in rural areas simply costs more relative to other states. Healthcare providers and seniors in rural Alaska are paying the price. We need the federal government to recognize these difficulties and respond appropriately by adjusting formulas to account for the unique needs that high-quality rural health care requires. Our priority must be ensuring seniors on Medicare can continue to access the inpatient and outpatient health services they rely on, no matter where they live.” Sullivan said.
Murkowski acknowledged that Medicare formulas continue to fall short in addressing rural states’ challenges.
“Alaska’s healthcare system relies on healthcare facilities to provide care in some of the most remote locations, contributing to increases in the cost of care, “said Senator Murkowski. “This legislation will offer greater flexibility for these Medicare formulas, so our facilities can provide critical care to our seniors and rural Alaskans.”