America's Essential Hospitals

07/21/2026 | Press release | Distributed by Public on 07/21/2026 10:24

Coalition Shares Concerns with Value-Based Care Provisions in Medicaid SDP Rule

America's Essential Hospitals joined a coalition of health care organizations to express concerns about value-based care provisions in the Medicaid state directed payments rule in a July 21 letter to the Centers for Medicare & Medicaid Services (CMS). The coalition includes 24 organizations committed to aligning Medicaid payment policies with value for patients.

The letter discusses how the proposed rule's overly prescriptive application of Medicare-based limits will interfere with state efforts to advance value-based payment models that are tailored to Medicaid beneficiaries' unique needs. We ask CMS to preserve state and managed care organization flexibility, align Medicare-based payment limits with the process used in Medicaid fee-for-service, and refrain from limiting services not required by statute.

The following organizations have signed onto this letter:

  • Alliance of Community Health Plans
  • American Academy of Family Physicians
  • American Medical Group Association
  • American Nurses Association
  • America's Essential Hospitals
  • America's Physician Groups
  • Association for Clinicians for the Underserved
  • Association for Community Affiliated Plans
  • Association of American Medical Colleges
  • Catholic Health Association
  • Children's Hospital Association
  • First Focus on Children
  • Health Care Transformation Task Force
  • Leading Age
  • Medicaid Group Management Association
  • National Association for Behavioral Health
  • National Association of Community Health Centers
  • National Association of Pediatric Nurse Practitioners
  • National Council for Mental Wellbeing
  • National Healthcare for the Homeless Council
  • National Rural Health Association
  • Primary Care Collaborative
  • Society of General Internal Medicine
  • Vizient, Inc.

Contact Director of Policy Rob Nelb, MPH, at [email protected] or 202.585.0127 with questions.

America's Essential Hospitals published this content on July 21, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on July 21, 2026 at 16:24 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]