Some Healthcare Funding Restored as Gov. Whitmer Signs Supplemental Budget

capitol building

Gov. Gretchen Whitmer signed the supplemental budget Dec. 20, restoring vital hospital funding in fiscal year 2020, which began Oct. 1.

Michigan Capitol BuildingThe supplemental budget restores some of the 147 line items that the governor vetoed earlier this year. Restored funding includes the Rural Access Pool, the Obstetrics Stabilization Fund, and a significant Medicaid outpatient rate increase for critical access hospitals (CAHs). These three MHA budget priorities received bipartisan support as a direct result of the association’s successful advocacy efforts. The MHA distributed additional resources in a Dec. 11 email to CAHs for use as they assess the impact of the budget agreement.

The MHA will continue to advocate to restore funding for an additional line item that was not part of this budget agreement: a 7% increase to Medicaid outpatient reimbursement rates for all Michigan hospitals, not just CAHs. Lawmakers have stated they plan to work on additional supplemental budgets in 2020.

The association encourages members to contact state elected officials and thank them for their support of CAH funding and maintaining access to care in their communities. Members with questions may contact Adam Carlson at the MHA.