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U.S.
Senator Member of the Agriculture, Energy and Veterans Affairs
Committees |
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For Immediate
Release August 5, 2005 |
CONTACT: Cody Wertz – Press Secretary 202-228-3630 Jen Clanahan – Deputy Press Secretary 303-455-7600 |
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| SEN. SALAZAR WINS IMPORTANT MEDICARE FIX FOR RURAL HOSPITALS – MORE THAN 12K COLORADANS DIRECTLY BENEFIT
WASHINGTON, D.C. – United States Senator Ken Salazar today announced a major victory in his ongoing efforts to stand up as a voice for rural communities in Colorado by protecting necessary hospital coverage for more than 12,000 Coloradans. Thanks to efforts by Sen. Salazar, a new federal rule published by the Centers for Medicare & Medicaid Services (CMS) will preserve for rural Critical Access Hospitals (CAHs) the designation of “necessary provider,” preserving for these hospitals additional federal funding to provide health care services. “When I told the people of Yuma and Phillips counties as well as the rest of rural Colorado that I would be a voice for them in the Senate, I took that commitment seriously. I am proud we were able to preserve this critical federal funding,” said Sen. Salazar. On May 4, 2005 CMS proposed a new rule regarding CAHs, specifically that for a Critical Access Hospital to maintain its “necessary provider” status after relocating its facility to a new building, the facility must demonstrate construction plans were “under development” by December 8, 2003. Under this original rule, Melissa Memorial Hospital in Holyoke (whose service area includes 5,000 rural Coloradans) and Yuma District Hospital, in Yuma (whose service area includes 7,500 rural Coloradans) could have had their federal funding jeopardized. However, on June 20, 2005 Senator Salazar, along with Senator Allard and Rep. Musgrave, wrote to CMS requesting a change to this rule. In their letter, Sen. Salazar pointed out that the gap between the December 8, 2003 deadline and the May 2005 publication would affect two Colorado hospitals that started renovation plans but were unaware of CMS’ proposed change. Salazar, Allard and Musgrave noted in the letter, “This rule will endanger their designation if they proceed with their moves.” Instead, Sens. Salazar and Allard and Rep. Musgrave recommended that CMS adopt a more flexible rule that would allow any current CAH to retain its “necessary provider” designation, even if it changed locations, as long as the new location would “continue to meet the same needs of the population they were previously serving with substantially the same staff.” In response, CMS announced yesterday that under its revised rule, a previously-designated CAH hospital could retain its “necessary provider” status as long as 75 percent of the patients at the new facility come from the same service area as before the relocation; 75 percent of the services are the same as at the prior facility; and 75 percent of the staff are the same as at the prior facility. The new rule will appear in the August 12, 2005 Federal Register and will go into effect on October 1, 2005. Colorado is currently home to 25 CAHs in 23 counties, nine of which have “necessary provider” status. According to CMS, CAHs are hospitals that are in a rural area more than 35 miles from another hospital or CAH, provide 24-hour emergency care and average a hospital stay of less than 96-hours. CMS also allows a CAH to be certified by a state as a “necessary provider” making them eligible for additional federal funds under criteria set by the state. CMS’ press release announcing the new CAH rule can be found on CMS’ official website at: http://www.cms.hhs.gov/media/press/release.asp?Counter=1517 The text of the letter to CMS from Sen. Salazar, Sen. Allard and Rep. Musgrave is attached in PDF format. # # # |
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