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This bill amends the Medicaid program to modify limitations on disproportionate share hospital (DSH) payment adjustments. Specifically, it expands the definition of uncompensated care that hospitals can count toward DSH payments by including services where Medicaid is the secondary payer after Medicare or private insurance benefits are applied. The bill applies retroactively to fiscal years beginning October 1, 2021, and protects states from having to recoup prior payments made under the previous methodology.
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