Good First Steps this Week for CHIP and DSH Funding

Two big priorities for the Massachusetts healthcare community – preserving the Children’s Health Insurance Program (CHIP) and stalling Medicaid cuts to disproportionate share hospitals – were helped this week by Congressional action. The U.S. Senate Finance Committee voted on Wednesday to fund CHIP through 2022. A similar House bill is in the works; that bill would also delay Medicaid DSH cuts for FY2018 but add additional years of cuts in 2026 and 2027. CHIP covers 160,000 children in Massachusetts. If the DSH cuts are not delayed, Massachusetts will see its funding for the program reduced by 31% in FY2018, costing the state more than $100 million.