Recent Closure of Ontonagon Emergency Room Prompts Michigan Representatives to Introduce Legislation in Washington D.C.

Two Michigan U.S. Representatives introduce bipartisan legislation to improve Rural Emergency Hospital designations to keep emergency departments open. Yesterday Representative Jack Bergman and Representative Debbie Dingell introduced the Rural 340 B Access Act to improve REH designation. The Rural Emergency Hospital designation was introduced in 2020 by Congress to address rural hospital closures and ensure remote communities maintain access to emergency health facilities. The designation allows rural hospitals to receive direct financial support and increased medicare reimbursements while maintaining 24-hour emergency departments, observation beds, and other elements of health services. In that initial creation, REH facilities could not participate in the 340 B drug discount program which can provide rural hospitals and clinics with discounted prescription drugs.

If the program were expanded 340B would provide critical income for rural providers including 20 Michigan hospitals in northern Michigan and the Upper Peninsula. If passed the Access Act will allow these hospital designations access to 340 B discounts on critical medicine. The act’s introduction comes after the recent closure of the Aspirus Ontonagon Hospital’s emergency services earlier this month.

Representative Bergman says that the unfortunate closing of the Ontonagon location’s emergency services made it clear to him and others that REH isn’t doing enough to prevent rural facilities from ending emergency services greatly impacting rural communities and the visitors to them.

Representative Dingell added that the update to the REH designation will ensure rural ERs have access to a critical federal resource that will help emergency rooms stay open.

National Rural Health Administration CEO Alan Morgan expressed that the act will allow hospitals vulnerable to closure access to a critical cost savings program.