Senator Frederick E. Berry (D-Peabody) co-sponsored legislation that would take a step toward protecting patients by helping to stabilize the Commonwealth's health care system. The bill is a two-year plan that would immediately increase support for Medicaid and the state's uncompensated care pool, two of the most critical programs in the state's health care safety net. It would design new longer-term systems for both programs. The bill would also provide financial relief for all Massachusetts hospitals, which would safeguard vital community health resources.

"There are two major hospitals in my district that serve the health care needs of the people I represent. I believe that this bill addresses the critical financial needs of these hospitals, thereby protecting vital health care resources and jobs in our community," said Senator Berry.

According to the Medicare Payment Advisory Commission, a federal government agency, as well as other independent analyses, Massachusetts's Medicaid program currently pays less than 80 cents on the dollar for the medical care hospitals provide to needy people, the sixth worst level in the country. The legislation would require that the state cover the reasonable cost of care for the Medicaid patients. Further, it would increase the state's contribution to the uncompensated care pool. Currently, the pool relies primarily on funding from hospitals that are themselves reporting financial problems. Two-thirds of Massachusetts's hospitals have negative financial operating margins.