Kentucky Grants Funding Increase to the Passport Medicaid Managed Care Organization

The Kentucky Cabinet for Health Services has approved an 8% fiscal year 2002 funding increase for Passport Health Plan, the Medicaid managed care plan serving the Jefferson County area, the Louisville Courier-Journal reports. The Passport program, which began in 1997, currently serves more than 115,000 Medicaid beneficiaries and administers "special programs," such as a 24-hour nurse hotline, for its members. In a statement, the cabinet said that the increase was "deemed necessary" because of growing health care costs, including increases in program participants and "soaring" costs for prescription drugs. Despite rising costs, the Passport program saved the state more than $30 million this fiscal year, a factor that "justified" the increase, according to cabinet spokesperson Gil Lawson. He said, "We see Passport as part of the solution because it is saving the state money." In contrast, the state's traditional Medicaid program ran an $82 million shortfall this fiscal year and is expected to cost the state $281 million more next year (Kaukas, Louisville Courier-Journal, 3/30).