MHA CEO Report — A Healthy Michigan is an Insured Michigan

MHA Rounds Report - Brian Peters, MHA CEO

“Life is what happens while you are busy making other plans.” — John Lennon

MHA Rounds Report - Brian Peters, MHA CEOThe United States celebrated last month the 13th anniversary of the signing of the Affordable Care Act (ACA). Simply put, when then-President Obama signed the legislation March 23, 2010, it was one of the most monumental healthcare policy changes in our lifetime. Since its passage, it has provided millions of Americans with health insurance, provided access to care for millions of residents with preexisting conditions and incentivized the launch of innovative models of care that have improved patients’ lives and saved billions of healthcare dollars.

The MHA was pleased to celebrate the anniversary by having MHA Executive Vice President Laura Appel join U.S. Rep. Elissa Slotkin and others in a virtual press conference discussing the positive impact the ACA has had on Michiganders.

The mission of the MHA is to “advance the health of individuals and communities.”  We have long supported the ACA, as the availability of robust health insurance coverage is crucial to achieving this mission. The benefits of the ACA can be measured by the more than one million Michiganders now covered by our Medicaid expansion program – the Healthy Michigan Plan – and more than 320,000 Michiganders who now receive coverage through the Health Insurance Marketplace created simultaneously by the act. Combined, these new developments have helped to significantly reduce the number of uninsured individuals in Michigan, which consistently numbered well over one million people in the years prior to the ACA’s passage.

The history of health insurance coverage in America is interesting and complex, and there were two major turning points in the 20th century that preceded the ACA. First, to combat inflation amid World War II, Congress passed the 1942 Stabilization Act. Designed to limit the ability to raise wages, the act led employers to instead offer health benefits for the very first time. Because health benefits did not count as income, they were not taxable to the employees. With a flip of the proverbial switch, employers were in the health insurance business and have never looked back. Second, in 1965 then-President Lyndon B. Johnson signed into law the enabling legislation to create the Medicare and Medicaid programs, which have provided coverage to important populations including seniors, those with disabilities, low-income and more.

Today the majority of Michiganders – over six million – are covered by employer-sponsored private insurance. But both Medicare and Medicaid have grown, accounting for approximately two million enrollees in each program respectively.  This growth is driven by different factors: for Medicare, we obviously have an aging population, increasingly fueled by the baby-boom generation. And for Medicaid, we have seen both organic growth in the traditional program, as well as significant growth in the Medicaid expansion program.

Whether public or private, we celebrate health insurance coverage because it directly benefits people, as they are more likely to see a primary care practitioner, seek recommended tests and screenings, receive appropriate prenatal care and generally access a wide array of healthcare services in such a way that their issues can be identified and resolved as early as possible. Not only does this mean better outcomes, but it also saves healthcare costs in the long run. And of course, having insurance coverage provides financial peace of mind for families when an unanticipated serious illness or catastrophic injury occurs.

The truth is that better insurance coverage is a positive for hospitals as well, as it helps to reduce the amount of uncompensated care that we must absorb. However, simply having an insurance card is no guarantee that an individual will have the appropriate level of coverage, as the rise in high-deductible and “skinny” insurance plans still result in significant and growing out-of-pocket expenses for consumers. These plans in turn have created more bad debt and uncompensated care for hospitals because consumers often purchase these plans based strictly on price without full knowledge of their co-pays, deductibles, which providers are considered in-network and what care may not be covered at all. On this note, the subject of surprise medical bills has been in the spotlight in recent years, culminating with the implementation of the federal No Surprises Act in January 2022. There is no doubt hospitals own our share of this issue – and we are committed to doing all we can to improve. But as a wise health policy observer commented to me at the time, the situation for far too many Americans can be summarized as “surprise, your health insurance stinks.” The total unpaid costs of patient care for Michigan hospitals in 2020 exceeded $3.4 billion, and the anecdotal evidence points to this challenge continuing ever since.

Back to the public policy front, one key issue on our radar screen now is the pending expiration of the COVID-19 public health emergency (PHE). Michigan has an additional 355,000 residents enrolled in traditional Medicaid and 367,000 additional Healthy Michigan Plan enrollees since the PHE began, and many of them will be at risk of losing coverage when the PHE ends and the Medicaid “redetermination” process begins.

In many Michigan counties, more than 30% of the population uses Medicaid for its healthcare benefit. The goal of the MHA and our partner stakeholder groups is to work with the Michigan Department of Health and Human Services (MDHHS) to ensure as many people as possible either maintain their Medicaid coverage or transition to an appropriate plan on the insurance exchange if they do not now have employer-sponsored coverage. This will continue to ensure that community members avoid interruptions in their care and will allow us to maintain many of the health outcome gains achieved over the past 13 years.

The MDHHS has created tools and resources for providers and partners aimed at educating their patients about the need to ensure their contact information is updated so they properly process their redetermination paperwork. The MHA has worked closely with our member hospitals and health systems to share these resources. This may be the first time for many beneficiaries that they must renew their coverage, and some may not even be aware they’re on Medicaid. Hospitals are the main touchpoint for many beneficiaries and hence play a very significant role in helping to facilitate this process for vulnerable patients.

The ACA, like any other major public policy change, has been far from perfect. But reflecting on the success in providing coverage to more Michiganders, we must express our gratitude for those at both the federal and state levels for the gains we’ve made over the past 13 years. In Michigan, we’ve received bipartisan support over the years for expanded coverage. Despite all the challenges hospitals and health systems have experienced in recent years, the gains made from the ACA have been a big reason why Michigan hospitals can continue to serve their communities throughout all areas of the state.

And on the broader issue of health insurance coverage, we would be remiss if we did not acknowledge that insurance is only one element that contributes to – but does not on its own ensure – access to care. Our efforts in the health equity domain have shown clearly that language and cultural barriers, transportation, housing, food insecurity and many other factors contribute to the ability of many Michiganders to get the care they need. But at the end of the day, having insurance is a critically important first step. No one plans to get sick or injured – but when “life” happens, that coverage is nothing short of a blessing.

As always, I welcome your thoughts.

Appel Discusses REHs with WOOD TV8

MHA EVP Laura Appel speaks with WOOD TV8.
MHA EVP Laura Appel speaks with WOOD TV8.
MHA EVP Laura Appel speaks with WOOD TV8.

WOOD TV8 published a story Dec. 12 on the passage of Senate Bill (SB) 183, which includes language allowing rural emergency hospital (REH) licensure in Michigan. The bill passed Dec. 6 with overwhelming support in both the State House and Senate following collaboration between the MHA, the Michigan Department of Health and Human Services, the Michigan Department of Licensing and Regulatory Affairs and the Whitmer administration on making the necessary changes in state statute to allow for the new federal designation.

Laura Appel, executive vice president of government relations and public policy, MHA, spoke with WOOD TV8 on the bill and the challenges rural hospitals face which led to the creation of the federal REH designation. Appel discussed the high fixed costs associated with maintaining inpatient services and the financial reimbursement benefits offered to REHs.

“If your population goes down, your fixed costs don’t go down, but Medicare is going to continue to help you with those,” said Appel. “Regardless of where you are, if you’re a hospital in financial stress or if you’re a hospital that doesn’t want to become financially stressed … you have all of those things working in your favor.”

The MHA also received mentions in stories published Dec. 15, including one from Michigan Radio on the surge of respiratory illnesses being treated by Michigan’s pediatric hospitals and from Bridge on the increase of flu-related hospitalizations in the state.

Members with any questions regarding media requests should contact John Karasinski at the MHA.

Behavioral Health Legislation Introduced in State House

capitol building

capitol buildingNew legislation to make changes to the screening process for potential admission to inpatient psychiatric care for behavioral and mental health patients was introduced Aug. 17 in the Michigan House of Representatives.

Rep. Graham Filler (R-St. Johns) introduced House Bill (HB) 6355 to amend the Mental Health Code and make the preadmission screening process more efficient. Under the bill, preadmission screening units, whether operated by the Michigan Department of Health and Human Services or Community Mental Health services programs, must provide a mental health assessment within three hours of being notified by a hospital of the patient’s need. If a preadmission screening unit is unable to perform the assessment in a timely manner, HB 6355 would also allow for a clinically qualified individual at the acute care hospital to perform the required assessment. The bill provides for reimbursement to the hospital if hospital staff provide the preadmission screening.

The MHA supports HB 6355 because it addresses the ongoing issue of long wait times for emergency department behavioral and mental health patients. This legislation should help shorten the difficult wait times between the evaluation and beginning services.

HB 6355 was referred to the House Health Policy Committee. Members with questions regarding HB 6355 should contact Adam Carlson at the MHA.

Survey Published for Opioid Use Disorder Contacts

In preparation for the state’s anticipated grant program to implement an Emergency Department Medication for Opioid Use Disorder (ED MOUD) program, the MHA is asking all members to fill out a short survey by Sept. 23 to provide contact information for those within each member organization who support OUD work.

The Michigan Senate and House recently both passed Senate Bill 597, which requires all Michigan emergency departments who do not otherwise opt-out to implement an ED MOUD program. The governor has not yet signed the bill into law, but the MHA anticipates Gov. Whitmer will sign the bill in the coming months.

While ED MOUD programming currently exists and many Michigan hospitals are already implementing it, the bill will require the Michigan Department of Health and Human Services to create a grant program to provide financial support to emergency departments to implement ED MOUD programs. This funding will be available only to those with more than 50 overdose encounters a year. Hospitals will be required to either opt-out or complete an application for funding. As such, the MHA Keystone Center – which has been working closely with Michigan hospitals currently implementing the ED MOUD program – is preparing to support members once the bill is signed. Given the anticipated tight turnaround to complete paperwork, it is imperative for the MHA Keystone Center to have the appropriate contacts to aid in the registration or opt-out process.

Members with questions about the requirements can reach out to the MHA Keystone Center.

 

Member Feedback Requested on Rural Emergency Hospital Proposed Rule

The Centers for Medicare & Medicaid Services (CMS) released a proposed rule June 30 that would establish conditions of participation (CoPs) that Rural Emergency Hospitals (REHs) must meet to participate in the Medicare and Medicaid programs. This proposed rule also includes changes to the Critical Access Hospital CoPs. Proposed payment and enrollment policies, quality measure specifications and quality reporting requirements for REHs will be included in future rulemaking. The CMS also modifies the provider agreement regulations to include REHs. The public comment period will end Aug. 29.

The MHA has been working closely with the Michigan Department of Health and Human Services (MDHHS) and the Michigan Department of Licensing and Regulatory Affairs (LARA) over the past few months to develop the licensure criteria and conversion process for eligible facilities in Michigan to convert to an REH after Jan. 1, 2023. The MHA will develop a comment letter in response to the proposed rule and share a draft with small/rural members prior to submission. To include input from Michigan hospitals eligible to convert to an REH in its comments, the MHA has created a brief survey to collect critical feedback that should be submitted by Aug. 1. Members with questions or concerns are encouraged to contact Lauren LaPine at the MHA.

MDHHS Proposes to Cover Doula Services for Medicaid Beneficiaries

The Michigan Department of Health and Human Services (MDHHS) recently released a proposed policy for Medicaid coverage of doula services effective Oct. 1, 2022, contingent upon approval by the Centers for Medicare & Medicaid Services. The MHA supports this proposal and agrees with the MDHHS statement that the policy would improve birth outcomes, address social determinants of health, and decrease health and racial disparities for Medicaid beneficiaries.

A doula is a nonclinical person who typically provides physical, emotional and educational support services to pregnant women during the prenatal, labor and delivery, and postpartum periods. Doulas must have a current certification by a doula training program or organization approved by the MDHHS and provide it upon request. They must complete an online application in the Community Health Automated Processing System and enroll with an Individual National Provider Identifier as either a Rendering/Servicing-Only or Individual/Sole Provider to be a Medicaid-enrolled provider.

Under the proposed policy, Medicaid would cover various types of doula services, including community-based, prenatal, labor and delivery, and postpartum services when recommended by a licensed healthcare provider. Doula services are expected to be in-person, with prenatal and postpartum services available via telehealth when there is a barrier to in-person services. Covered services would include a maximum of six total visits during the prenatal and postpartum periods and one visit for labor and delivery. All prenatal and postpartum visits would need to be at least 20 minutes to be eligible for reimbursement. The proposed payment rate is $75 per visit for prenatal and postnatal visits and $350 for attendance at labor and delivery.

Comments are due to the MDHHS June 4. Members with questions should contact Vickie Kunz at the MHA.

Combating the Novel Coronavirus (COVID-19): Week of Dec. 6

MHA Covid-19 update

MHA Covid-19 updateAs MHA CEO Brian Peters outlines in his December CEO Report, the situation confronting Michigan hospitals is dire, with hospitalizations due to COVID-19 exceeding record highs and intensive care units full of patients — most of whom are unvaccinated. The MHA joins healthcare experts around the country in urging the public to get one of the available COVID-19 vaccines.

The MHA continues to keep members apprised of pandemic-related developments affecting hospitals through email updates and the MHA Coronavirus webpage. Important updates are outlined below.

Legislature Considers Bills to Assist in Treating COVID-19

The Michigan House Appropriations Committee voted Dec. 8 in support of House Bill 5523, a bill that would provide critical staffing resources to hospitals and other providers. The MHA urges hospitals and others to contact their legislators, urging them to support the bill (see related article).

In addition, the Michigan Senate unanimously voted Dec. 8 in support of Senate Bill (SB) 759, a bill that would allow healthcare workers licensed by another state to continue to practice in Michigan during COVID-19 (see related article).

Court Issues Temporary Stay of Vaccine Mandate Enforcement for Federal Contractors

A federal district judge in Georgia issued an injunction Dec. 7 that is applicable to all states and temporarily pauses enforcement of the Centers for Medicare & Medicaid Services (CMS) COVID-19 vaccine mandate for federal contractors.

This is a preliminary injunction; until there is a final decision from the highest appellate court on these challenges to the CMS rule, federal contractors should be prepared to comply if the requirement is upheld. Like previous injunctions, this does not impact a contractor’s ability to implement and enforce its own organization-based vaccine policy.

The MHA will apprise members of updates on legal challenges to President Joe Biden’s vaccine mandates as they become available. Those with questions may contact Amy Barkholz at the MHA.

Additional information on the COVID-19 pandemic is available to members on the MHA Community Site and the MHA COVID-19 webpageQuestions on COVID-19 and infectious disease response strategies may be directed to the Michigan Department of Health and Human Services Community Health Emergency Coordination Center (CHECC).

MHA CEO Report — Staying Resilient Through the Ongoing Pandemic

MHA Rounds Report - Brian Peters, MHA CEO

“If you’re going through hell, keep going.” — Winston Churchill

MHA Rounds Report - Brian Peters, MHA CEOHere are the facts, and they are not pretty: as we enter the final month of 2021, the situation confronting our Michigan hospitals is as dire as it has been since the start of the pandemic. A prolonged fourth surge has driven COVID-19 inpatient hospitalizations above 4,600 and ICU occupancy rates to nearly 90% — both metrics hovering near our all-time record highs. Michigan hospitals are also dealing with extraordinarily high volumes of non-COVID patients — likely the result of months of pent-up demand for healthcare from Michiganders who have delayed seeking treatment for a wide range of issues. Throughout the state, elective procedures are being deferred, emergency departments are placed on diversion, patients ready for discharge are stuck in hospital beds due to transportation shortages and wait times in emergency departments can often be measured in hours. As if this wasn’t enough, we are now beginning to see the first flu cases arrive in our hospitals, at the same time that the specter of yet another new COVID-19 variant looms on the horizon. In short, we’re going through hell.

Given this reality, it is no wonder that the significant workforce challenges that predated the pandemic have only gotten worse by the month (it doesn’t help that the rates of violence, either verbal or even physical, are increasing as patients and their families become impatient with longer wait times or visitor restrictions due to infection control protocols). Many of our caregivers have headed to jobs in other fields or retired altogether. The end result of this phenomenon: nationally, hospitals and health systems remain nearly 100,000 jobs below their pre-pandemic February 2020 peak. And here in Michigan we have approximately 800 fewer staffed hospital beds today than we did one year ago — in essence, this is the inpatient capacity equivalent of shuttering one of our largest hospitals. The workers who remain are facing unprecedented stress and fatigue. Already, three Department of Defense medical teams have been called in to provide staffing support to some of our hospitals. We welcome this support, but much more is needed.

However, Michigan’s healthcare community is coming together to advocate for solutions that address healthcare workforce sustainability in both the short and long term. Together with long-term care, medical transportation providers and higher education leaders, we are advocating for funding to support healthcare workforce staffing and growing the talent pipeline.

House Bill (HB) 5523 was introduced Dec. 8 and includes $300 million for healthcare workforce recruitment and retention payments. We are extremely appreciative of this appropriation and encourage lawmakers and the administration to quickly approve the funding for the healthcare workforce before the holiday break. Our communities depend on our hospitals both for life-saving treatment and as economic engines. An investment today will help set Michigan on a path forward to addressing this crisis.

In addition, first hearings were held Nov. 30 on HBs 5556 and 5557, which would allow community colleges to offer four-year bachelor of science in nursing degrees. The MHA supports this legislation that would improve the long-term nursing talent pipeline and would increase access to high-quality nurses in some areas served by Michigan’s small and rural hospitals where a four-year school does not currently exist.

At the MHA we have a mantra: “no data without stories, and no stories without data.” It takes both to move the needle on public opinion and, hence, public policy. We have heard countless stories about the current environment from nurses, doctors, hospital and health system leaders, patients and others. The stories range from insightful, to heartbreaking, to maddening. Now here is some compelling data, which points to what all Michiganders can do to help: 76% of COVID-19 hospital inpatients are unvaccinated, 87% in the ICU are unvaccinated and 88% on ventilators are unvaccinated. The data is clear; vaccines are safe and effective at preventing severe illness. It is quite literally the most powerful tool in our toolbox. While we recently surpassed 70% of the population age 16 and older receiving at least one dose of COVID-19 vaccine, we have a long way to go on this front. The vaccine uptake among eligible children ages 5-11 now stands at just 16.2%, with large disparities existing between suburban communities and their rural and urban counterparts.

What we need to do to get out of this current COVID-19 surge is simple, and the message from our hospitals is clear: get vaccinated, have your children vaccinated and receive your booster dose when eligible. Adhere to the Michigan Department of Health and Human Services mask advisory in large indoor gatherings. And if you do visit a healthcare facility, whether for a medical emergency or to accompany a loved one, please be patient and display some grace and empathy toward our healthcare workers. The pandemic is clearly not over, and they need your help and support now more than ever.

As always, I welcome your thoughts.

Prepare Now for March Application Period of State Loan Repayment Program

Applications for the 2022 Michigan State Loan Repayment Program (MSLRP) will be accepted from March 7-11 through the File Transfer Application System. Providers should create an account in the system as soon as possible, but should not upload their MSLRP application documents before March 7.

The MSLRP assists employers in the recruitment and retention of medical, dental and mental health primary care providers who continue to demonstrate their commitment to building long-term primary care practices in underserved communities designated as Health Professional Shortage Areas. Those selected will receive up to $200,000 in tax-free funds to repay their educational debt over a period of up to eight years of participation. Priority will be given to applications from inpatient pediatric psychiatrists, providers working at practice sites in Genesee County, and obstetric service providers working in northern Michigan.

The review process has been updated for this application period. Providers and employers are strongly encouraged to read more about the review process in the Selection Criteria, Application Review and Final Phase Process section of the MSLRP website. For more information, contact Brittany Brookshire at the Michigan Department of Health and Human Services.