Hospital leaders warn CMS rule changes could reduce Medicaid reimbursements starting 2028

Aug 4, 2026

CFO Michael Nunez told the board that CMS proposals and state calculations could reduce supplemental Medicaid reimbursements for non-expansion states like Texas, potentially lowering rates to Medicare plus 10 beginning Sept. 1, 2028, and creating budgetary pressure.

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The Hospital District's chief financial officer warned commissioners that pending federal rule changes and state calculations could materially lower Medicaid supplemental reimbursements for non-expansion states and that the district is monitoring the issue.

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