Super Committee's Stalemate Would Trigger Deep Cuts to Medicare

PRINCETON, N.J., Nov. 21, 2011 /PRNewswire-USNewswire/ -- The following is a statement from Betsy Ryan, President and CEO of the New Jersey Hospital Association:

"The Super Committee's apparent inability to reach an agreement raises renewed worry for healthcare organizations and the people they serve. Hospitals and other healthcare providers such as nursing homes, rehabilitation facilities and home health care face $500 billion in Medicare cuts over the next nine years under an automatic 2 percent cut that will be triggered if the Super Committee fails to pass recommendations through Congress.

"These cuts would follow closely on the heels of $155 billion in hospital cuts over the next 10 years under the healthcare reform law. The impact for New Jersey's healthcare community would total $130 million in deficit reduction cuts in 2013 and $1.3 billion by 2021, on top of $4.5 billion in cuts under the Affordable Care Act.

"We share lawmakers' concern about our nation's debt load, as well as the commitment to redesigning healthcare to control cost growth. That's why hospitals voluntarily conceded billions of federal dollars to help pass a healthcare reform law. But the compound effects of additional cuts reach far too deep. Healthcare access, quality and jobs hang in the balance – not just for Medicare beneficiaries but for anyone who depends on our healthcare system." 

SOURCE New Jersey Hospital Association