Senate unveils alternative LIP model that increases base rates for all hospitals

The Senate on Thursday will propose an alternative “Low Income Pool” model that would use supplemental Medicaid dollars to increase the base rates all hospitals are paid to treat the poor, elderly disabled, uninsured and underinsured. The new modified LIP plan would still give the major local contributors to the LIP program a healthy return on investment because the plan also calls on modifying Diagnostic Related Group payments for inpatient care to critical Medicaid providers, or those with trauma centers, neurological…