Reduce appropriation to reflect the impact of DSH cuts on state behavioral health facilities
Biennium
2018-2020
Budget Round
Initial Bill
Category
Other spending or initiatives
Region
Multiple Regions
Description
Reduces the appropriation (general fund and federal) that is used to provide Disproportionate Share Hospital (DSH) payments to two behavioral health facilities (Piedmont Geriatric Hospital and Catawba Hospital) operated by the Department of Behavioral Health and Developmental Services. DSH payments are made to qualifying hospitals that serve a large number of Medicaid and uninsured individuals. The Patient Protection and Affordable Care Act (ACA, P. L. 111-148 as amended) reduces DSH funding to all states beginning in federal FY 2018 (cuts were originally supposed to begin in FY 2014 but have been delayed). As such, it is expected that the payments (total funds) to Piedmont and Catawba will be reduced $907,820 in FY 2019 and $1,270,948 in FY 2020 (half of these amounts are general fund).