Medicaid Changes May Mean Cuts For Some Illinois Hospitals

Feb 12, 2018

Illinois lawmakers and the state's hospitals have reached a tentative agreement on a new method of spreading billions of dollars in federal Medicaid money to hospitals across the state.

Credit "Blake Wilbur Building - Stanford Hospital & Clinics" by Flickr User Jennifer Morrow / (CC X 2.0)

But some of Illinois' 22 so-called "safety net" hospitals that serve a high volume of Medicaid patients could lose money under the new program. That's prompting concerns hospitals may have to cut services, lay off staff or even close.

Illinois distributes $3.6 billion through an assessment on hospitals matched by federal money to cover Medicaid costs.

A.J. Wilhelmi is president and CEO of the Illinois Health and Hospital Association. He says the revision will benefit the safety-net hospitals.

But the CEO of at least one hospital serving a poor Chicago community says the deal means no new money.