Last progress June 12, 2025 (8 months ago)
Introduced on June 12, 2025 by Ronald Lee Wyden
Read twice and referred to the Committee on Finance.
Requires states to study and report hospital costs for maternity, labor, and delivery care and funds help for small rural hospitals to compile cost data. Extends Medicaid and CHIP full benefits through pregnancy and for 12 months postpartum, creates an optional Medicaid "maternity health home" model for coordinated care, and authorizes planning grants. Provides new tools to support the maternal health workforce and keep maternity services available—including Commissioned Corps details, protections and plans when staff or units close, streamlined out‑of‑state provider enrollment, and funding for workforce and operational improvements. Requires hospitals to give advance public and state notice before closing obstetric units, explain impacts, and include detailed labor and delivery data in cost reports starting July 1, 2026; HHS must publish state and national reports and issue guidance by January 1, 2028.
Each State must conduct a study on the costs of providing maternity, labor, and delivery services in applicable hospitals and submit the results to the Secretary of Health and Human Services not later than 24 months after enactment, and every 5 years after that.
Each required State study must include (to the extent practicable) an estimate of the cost of providing maternity, labor, and delivery services at applicable hospitals, based on expenditures from a representative sample over the 2 most recent years with available data.
Each required State study must include (to the extent practicable) an estimate of the cost of providing maternity, labor, and delivery services at applicable hospitals that stopped providing labor and delivery services within the past 5 years, using expenditures from a representative sample over the 2 most recent years with available data.
Each required State study must analyze (to the extent data allows) how geographic location, community demographics, and local economic factors (as defined by the Secretary) affect the costs of maternity, labor, and delivery services, including supporting services.
Each required State study must report the amounts applicable hospitals are paid for maternity, labor, and delivery services, by geographic location and hospital size, under Medicare, the State Medicaid program (fee-for-service and managed care as applicable), the State CHIP plan (fee-for-service and managed care as applicable), and private health insurance.
Who is affected and how:
Pregnant and postpartum people: Gain longer continuous coverage (full Medicaid/CHIP benefits during pregnancy and for 12 months after pregnancy), better access to coordinated care if states adopt the maternity health home model, and more local transparency about maternity unit closures that could affect access.
Hospitals (especially low‑volume and rural hospitals): Face new reporting and data collection requirements and must include detailed labor and delivery data in cost reports starting July 1, 2026. Some small rural hospitals receive funding to help compile cost data. Low‑volume obstetric hospitals may receive new "anchor payments" if they meet program conditions, which could help keep local birthing services open.
State health and Medicaid agencies: Must conduct cost studies, submit results to HHS, update Medicaid/CHIP coverage policies to provide 12 months postpartum coverage, consider adopting the maternity health home model, post hospital closure reports online, and manage new planning grants—adding administrative and policy work.
HHS and federal implementers (including Commissioned Corps): Must compile and publish national summaries, administer grants, develop guidance (including by Jan 1, 2028 on out‑of‑state provider enrollment), and be prepared to detail Commissioned Corps personnel to address urgent maternal health needs.
Maternal health workforce and local communities: May receive additional support and surge staffing through Commissioned Corps detailing; facilities must create contingency plans to address staff departures or unit closures, potentially reducing sudden loss of services. Communities gain earlier notice and public information about the impact of obstetric unit closures.
Payers and program budgets: Medicaid programs and state budgets will carry costs for extended postpartum coverage and new payment rules; federal grants and targeted funding are authorized for some activities, but states may face new or increased spending and administrative costs in implementing the changes.
Net effects and considerations:
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