Landmark Healthcare Act Approved in Colorado

The Colorado Hospital Association (CHA) was pleased to learn that the Centers for Medicare and Medicaid Services (CMS) has given approval to Colorado Medicaid’s proposal to collect a
hospital provider fee. CHA and Gov. Ritter’s office developed the
Colorado hospital provider fee proposal that would insure an additional
100,000 Coloradans.

“With the implementation of the hospital provider fee moving forward, the state of Colorado leads the nation in bringing true benefits to its citizens.
More uninsured Coloradans will have access to health coverage as early
as May 1 thanks to the diligent efforts of the state in working with
hospitals and health systems throughout Colorado,” said Steven J.
Summer, president and CEO of the Colorado Hospital Association. “The
provider fee also helps reduce unreimbursed healthcare costs, which in
turn benefits all Colorado citizens and businesses by reducing the
shifting of costs to the private sector.”

When fully implemented, this sustainable source of funding will provide health
care coverage through the Colorado Health Care Affordability Act.
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e In addition, it will expand healthcare coverage to
those in need as well as reduce the need for cost-shifting to private
payers. The provider fee helps patients, employers and small businesses
throughout Colorado.

“The department, the governor’s office and the Colorado Hospital Association have worked on this proposal for
over a year,” said Joan Henneberry, executive director of the http://www.colorado.gov/hcpf">Department

of Health Care Policy and Financing. “The Hospital Provider Fee
Oversight and Advisory Board (OAB) comprised of representatives from
urban and rural hospitals, the Colorado Hospital Association and private
physicians worked diligently since June 2009, to provide informed
guidance to the department to meet the goals of the Affordability Act.”

May 1, 2010, marks the implementation of the first phase of the Act. For a family of four with a household income of $55,125 per year,
children and pregnant women will be eligible for Child Health Plan Plus
(CHP+). Parents in a family of four who have children on Medicaid can
make up to $22,000 per year. “This is a
great day for Colorado. We have made significant progress on the road
to thoughtful reform by providing coverage for 100,000 mothers,
children, people with disabilities, and other Colorado residents,” said
Gov. Ritter. “This will pay off in both fiscal and personal health
for our state and its residents and will be accomplished without
additional costs to the General Fund.”

About the Colorado Hospital Association

The Colorado Hospital Association represents 94 hospitals and health systems throughout Colorado: private and government-owned, metropolitan and
rural, investor-owned and not-for-profit. CHA members provide
care for more than 471,000 patients in general, academic, specialty
and rehabilitation hospitals, 1.6 million emergency room visits and over 7
million outpatient visits. Together, we work tirelessly to ensure that
all Coloradans have access to high quality, affordable health care
provided through an appropriately
financed healthcare delivery system. For more information, visit www.cha.com.