FRANKFORT, KY (STL.News) Gov. Andy Beshear announced Kentucky hospitals will receive an additional $800 million to $1 billion annually to help advance the quality of care of Medicaid members and provide a stable base for hospitals that will extend beyond the financial challenges of the COVID-19 pandemic.
The Governor said the Kentucky Cabinet for Health and Family Services (CHFS) received approval Jan. 14 from the U.S. Centers for Medicare and Medicaid Services (CMS) on a new directed payment initiative that increases inpatient Medicaid payments for Kentucky hospitals. Pending Kentucky General Assembly legislative approval and federal approval of details plans, payments could begin in March.
With over one-third of Kentucky’s population enrolled in Medicaid, the Governor said the payments are critical to building a better Kentucky by assuring equal access to quality care in the commonwealth.
“Health care is a basic human right, and our people deserve the highest-quality care possible,” said Gov. Beshear. “Our hospitals and medical professionals are the pillars holding up our communities during this unprecedented time. Our hospitals need additional support to ensure they can continue to meet the needs of Kentuckians and our health care heroes and sheroes deserve our sincere thanks for standing strong on the frontlines helping to save lives.”
In order to receive these funds, hospitals will have to abide by higher quality standards that will be developed in collaboration with CHFS and the Kentucky Hospital Association (KHA).