AHA Post-Acute Steering Committee Chair Urges Congress to Address Underpayments in Long-Term Hospital Care

5 March 2026

In a compelling letter to the editor published by KFF Health News on March 3, 2026, Jim Prister, president and CEO of RML Specialty Hospital and current chair of the American Hospital Association's (AHA) Post-Acute Steering Committee, has issued a urgent call to Congress. He highlights the detrimental effects of chronic underpayments and persistent insurance barriers that are severely undermining patient care and access to essential long-term care hospitals (LTCHs) across the United States. This advocacy comes at a critical juncture for hospital administrators and healthcare leaders grappling with financial sustainability in post-acute care settings.

Prister's letter emphasizes how inadequate reimbursement rates from Medicare and commercial insurers fail to cover the high costs associated with LTCH services. These facilities specialize in treating patients with complex, chronic conditions who require extended hospital-level care, often involving **facilities management**, **critical care**, and **infection control** protocols. Underpayments create operational strains, forcing hospitals to limit bed availability or even close units, directly impacting patient outcomes in areas like **respiratory care** and **rehabilitation and mobility**. For procurement professionals, this translates to challenges in securing **medical furniture and equipment** and **consumables** necessary for sustained operations.

The insurance barriers Prister references include prior authorization delays and denials that prolong patient discharges, increasing lengths of stay and costs. This inefficiency burdens **healthcare management** teams, who must navigate regulatory complexities while ensuring compliance with **patient monitoring** standards. Prister argues that legislative action is imperative to reform payment models, potentially through adjustments to the Medicare LTCH payment system under the Inpatient Prospective Payment System (IPPS). Such reforms could align reimbursements more closely with actual costs, fostering stability for **healthcare organizations** nationwide.

From a strategic perspective, hospital executives view this as part of broader **healthcare management** trends. The AHA's involvement underscores the need for unified advocacy, similar to recent efforts on **telemedicine** expansions and **digital transformation**. Clinical leadership in LTCHs, dealing with high-acuity cases in **cardiology**, **nephrology & urology**, and **oncology**, rely on adequate funding to invest in **diagnostics and imaging** technologies and **laboratory equipment**. Without intervention, these barriers exacerbate workforce shortages and delay innovations in **surgical equipment** and **wound management**.

Prister's position as chair amplifies the message, drawing from his frontline experience at RML Specialty Hospital, a key player in post-acute care. Hospital decision-makers are encouraged to engage with policymakers, echoing AHA recommendations on interoperability via the recent HTI-5 proposed rule comments. This letter also intersects with CMS initiatives like the CRUSH RFI, aimed at fraud prevention but potentially affecting **pharmaceuticals** and **DMEPOS** suppliers integral to LTCH operations.

Looking ahead, industry experts anticipate Congressional hearings on payment reforms, possibly influencing the 2027 Medicare Advantage rates. For **medical technology vendors** and **service providers**, this signals opportunities in cost-effective solutions for **emergency care** and **orthopaedics** recovery. Prister's advocacy reinforces the AHA's 2026 Annual Membership Meeting agenda, set for April 19-21 in Washington, D.C., where governance and trust in healthcare financing will be central themes. Stakeholders must prioritize these issues to safeguard access and quality in long-term care.

Ultimately, addressing these challenges requires collaborative efforts between hospitals, insurers, and regulators. Enhanced funding could enable expansions in **healthcare information technology**, streamlining **blood banking** and **ENT** services. As financial pressures mount, Prister's letter serves as a clarion call for systemic change, ensuring LTCHs continue delivering vital care amid evolving demands. This development holds significant implications for **facilities management** strategies and long-term viability of specialized hospital units.