Hospitals Issue Dire Warnings About Repealing Obamacare Without A Backup Plan

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The hospital industry has a warning for President-elect Donald Trump and congressional leaders: Eliminating the Affordable Care Act without first crafting a “replacement” would create major hardships throughout the health care system.

Hospitals traded billions of dollars in Medicare and Medicaid payment cuts for expanded health coverage under the Affordable Care Act, reasoning it would be good for hospital finances to have fewer uninsured patients who don’t pay for their care. Congressional Republicans are leaning toward a plan that would repeal the law early next year, but delay enacting a new system for up to three years.

That won’t work, according to two influential hospital lobbying groups.

The American Hospital Association and the Federation of American Hospitals laid out their concerns in letters sent Tuesday to Trump, Vice President-elect Mike Pence, House Speaker Paul Ryan (R-Wis.), House Minority Leader Nancy Pelosi (D-Calif.), Senate Majority Leader Mitch McConnell (R-Ky.) and Sen. Chuck Schumer (D-N.Y.), who will become minority leader next year.

These groups are demanding that legislation repealing the law and creating an alternative pass simultaneously, or that Congress and the incoming Trump administration restore the funding cuts from the law.

Hospitals will be seriously threatened if neither action occurs, Tom Nickels, executive vice president for government relations and public policy, said Tuesday during a conference call with reporters.