TennCare Beneficiaries, Advocates Protest Governor’s Proposed Reforms

In response to Tennessee Gov. Don Sundquist's (R) proposed reforms for TennCare, the state's Medicaid managed care program, dozens of advocates and beneficiaries held a rally March 12 in front of the state Legislature to protest the plan, the AP/Memphis Commercial Appeal reports. Advocates marched down the halls of the Legislature giving jars and cans to lawmakers, saying that if the changes are implemented, people would have to rely on "spare change" charity for health care (Gerome, AP/Memphis Commercial Appeal, 3/13). Sundquist's proposal, which still needs approval from the federal government, would scale back the program to a managed care plan -- called TennCare Medicaid -- for Medicaid-eligible residents. The plan also calls for the creation of TennCare Standard, which would offer benefits similar to those under a commercial managed care plan to the following groups: adults with no access to group insurance and with incomes below the poverty level; children in families with incomes below 200% of the poverty level and no access to group insurance; and medically eligible people with illnesses that make them uninsurable. The proposal also would create TennCare Assist, which would offer premium assistance to low-income workers to purchase private health insurance (Kaiser Daily Health Policy Report, 3/14). The reforms would mean that an estimated 164,000 beneficiaries would lose coverage. Advocates said they are opposed to any reform that would reduce services and fear that budget pressures may force lawmakers to drop TennCare altogether in favor of a traditional, fee-for-service Medicaid program. Eric Cole, executive director of Citizen Action, which organized the rally, said if that happens, local governments will be forced to pay for any health care not covered by TennCare. "We have a program that ... needs some reform. But at the expense of people's lives? No," he said (AP/Memphis Commercial Appeal, 3/13). However, TennCare spokesperson Lola Potter said only non-Medicaid eligible patients would be affected by the changes, adding that Sundquist's proposal "takes people who are not Medicaid-eligible out of an entitlement program" (Lewis, Nashville Tennessean, 3/13).