Politics1 min read

STAT+: Democrats’ midterm landslide spells relief for hospitals

By · Via STAT Health · Published by Everything Blog

In short

Democrats plan to introduce several major healthcare initiatives during the first 100 hours of the new legislative session in January. Their agenda focuses on reversing previous Medicaid reductions enacted under President Trump’s tax law and reinstating lapsed Affordable Care Act subsidies. Furthermore, lawmakers are preparing to halt a controversial drug discount model that drew significant pushback from medical facilities.

Key points

  • Healthcare facilities will no longer face immediate threats of Republican-led cuts to Med…: Healthcare facilities will no longer face immediate threats of Republican-led cuts to Medicaid funding.
  • Lawmakers intend to permanently restore the enhanced Affordable Care Act subsidies that e…: Lawmakers intend to permanently restore the enhanced Affordable Care Act subsidies that expired earlier this year.
  • A contested Trump administration drug discount model opposed by hospital networks will be…: A contested Trump administration drug discount model opposed by hospital networks will be blocked by Democrats.

Sources checked by our analysis pipeline: 1

The political environment is about to get friendlier for hospitals.

With Democrats gaining control of the House and Senate, hospitals will not have to worry about Republican-led efforts to cut Medicaid payments further. In fact, Democrats have explicit goals to prioritize measures that are financially beneficial to the hospital industry.

Within the first 100 hours of the next Congress, which starts in January, Democrats want to advance policies that would reverse Medicaid cuts outlined in President Trump’s tax law and “permanently restore” the enhanced subsidies for Affordable Care Act plans that expired earlier this year, according to a memo from party leaders. Democrats even plan to block a niche drug discount model, despised by hospitals, that the Trump administration proposed.

This article is exclusive to STAT+ subscribers

Unlock this article — plus in-depth analysis, newsletters, premium events, and news alerts.

Already have an account? Log in

Politics