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Greg Harris

Lawmakers approve revamp of hospital Medicaid funding program

Lawmakers approve revamp of hospital Medicaid funding program

A long-awaited redesign of a program for distributing Medicaid money to hospitals across Illinois was approved Wednesday by state lawmakers.

Gov. Bruce Rauner is expected to sign the legislation, which revamps the $3.5 billion hospital assessment program that provides more than half of hospitals’ Medicaid funding.

The federal Centers for Medicare & Medicaid Services must approve the program before the current policy sunsets June 30, though if that doesn’t happen in time there is a bridge provision in the legislation to extend the current policy until the new one gets federal approval.

Meanwhile, two South Side hospitals whose budgets are squeezed by the new...

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