American Hospital Association November 1, 2024

Senators Bill Cassidy, R-La., and Maggie Hassan, D-N.H., Nov. 1 released a policy framework detailing a plan to impose site-neutral payments on hospitals. Site-neutral payment policies would require Medicare to pay the same rate for services delivered regardless of the care site. Medicare payment rates currently recognize fundamental differences between patient care in hospital outpatient departments compared to other settings.

“Simply put, this framework from Senators Hassan and Cassidy will limit and eliminate critical hospital-based care, resulting in increased wait times and decreased access to care for patients. It is irresponsible to think that clawing back up to $140 billion of Medicare spending for...

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