PROVIDENCE, R.I. - The Hospital Association of Rhode Island (HARI) strongly supports legislation to address the state’s ongoing health care crisis, the association announced today. Legislation introduced in the House and the Senate aim to strengthen the state’s health care system, improve patient access to care and ensure long-term financial sustainability for hospitals.
“Rhode Island’s health care system is in crisis, and hospitals, patients and communities are already feeling immense strain,” said Howard Dulude, interim president of the Hospital Association of Rhode Island. “This legislation would increase reimbursement rates to health care providers in the community and stabilize hospital funding, which are critical steps in addressing the pressures that are affecting access to care across the state. Now is the time for real solutions that invest in our health care system, support health care workers and essential health services for all.”
The state’s health care crisis has increased barriers to care for many Rhode Islanders, including longer wait times for appointments, limited provider availability and crowded emergency departments. Inadequate Medicaid funding that does not cover the cost of care, uncompetitive commercial reimbursement rates that lag neighboring states and chronic health workforce shortages are driving the crisis. These challenges have made it difficult for hospitals to retain and attract health care workers, jeopardizing critical services for patients throughout the state.
HARI supports the following legislation:
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A joint resolution sponsored by Senator Jacob Bissaillon and Representative Thomas Noret proposes a $90 million appropriation in state general revenue to increase physician and advanced practice provider reimbursement rates in Rhode Island’s Medicaid program. As Rhode Island faces significant challenges in physician recruitment and retention due to low reimbursement rates, this investment aims to improve provider sustainability and prevent avoidable hospitalizations and emergency department use. (Senate Bill TBD/H.5790)
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Sponsored by Senator V. Susan Sosnowski and Representative Teresa Tanzi, this legislation is a strategic initiative to enhance Rhode Island's commercial health care reimbursement rates, aligning them more competitively with neighboring Massachusetts and Connecticut. The legislation preserves essential cost control mechanisms through existing hospital and population contract rate caps, while providing a temporary two-percentage-point increase to these caps for three years. (S.0681/H.5832)
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Sponsored by Senator David Tikoian and Representative David Bennett, this legislation would increase Managed Medicaid payments for hospitals in Rhode Island without any additional cost to taxpayers. By leveraging the existing hospital provider tax, the legislation expands the hospital Managed Medicaid State Directed Payment program. This approach maximizes federal matching funds, ensuring hospitals receive critical financial support to maintain and enhance essential healthcare services. (S.0848/H.6095)
"Patients and providers appreciate the leadership of Representatives Bennett, Noret and Tanzi and Senators Bissaillon, Sosnowski and Tikoian for advancing legislation that will help stabilize Rhode Island’s health care system,” Dulude added. “We strongly urge the General Assembly to advance these bills to provide hospitals and health care workers the resources they need to continue providing care to all patients.”
“Investing in Medicaid reimbursement rates is investing in the health of Rhode Islanders. Without adequate Medicaid reimbursement rates, Rhode Island risks losing more providers and creating more barriers to care,” said Senator Jacob Bissaillon. “This legislation is an essential step towards addressing the challenges presented by the current health care crisis and creating a healthier future for our communities."
“Rhode Island faces a health care worker shortage, meaning our families and neighbors have trouble accessing medical services, from waiting longer for essential medical services to limited access to specialists to crowded emergency rooms,” said Representative Thomas Noret. “This bill will strengthen Rhode Island’s ability to attract and retain the physicians, nurses and other health care workers who provide invaluable care to our communities.”
“Keeping our communities healthy has always been a top priority for me, and so I recognize the importance of ensuring our health care system can continue to provide care to all Rhode Islanders,” said Senator V. Susan Sosnowski. “Lifting the cap slightly for a limited time will provide critical financial support to our hospitals, enabling them to better serve our residents. This measured step balances the need for financial stability with the importance of controlling healthcare costs, while also making Rhode Island reimbursement rates more competitive with neighboring states."
“Addressing Rhode Island’s health care crisis demands financial sustainability. This legislation offers an approach that strengthens our health care system while maintaining cost control safeguards.” said Representative Teresa Tanzi. “By aligning our reimbursement rates more closely with neighboring states, we can sustain vital health services and help keep care in Rhode Island, preventing it from shifting across our borders into Massachusetts and Connecticut."
"For far too long, hospitals in Rhode Island have struggled with low reimbursement rates that don't come close to covering the cost of care,” said Senator David Tikoian. “Expanding the hospital directed payment program ensures hospitals can continue serving patients, maintain essential services and reduce financial strain that could lead to cuts or closures. It’s a much-needed investment in the health of our state."
“As a registered nurse, I understand firsthand how crucial it is for hospitals to have the means they need to be able to effectively care for patients,” said Representative David Bennett. “This legislation ensures that hospitals receive dedicated Medicaid funding to support health care workers, expand critical services and improve patient outcomes. Investing in our health care system and providing financial support for hospitals is a top priority to strengthen our healthcare workforce and protect patient care in Rhode Island.”
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