In Ala. Medicaid Spending Debate, House Panel Raises Budget But It’s Still Short Of Goal
Medicaid officials say they need an extra $100 million to move the system to a managed care model. Also, South Carolina officials announce they are weighing efforts to cut Medicaid spending on behavioral health issues, and an Iowa Medicaid official defends plans by the new managed care firms there to set up wellness clinics.
Al.com:
Medicaid Would Get $15 Million More In Budget, Still Short Of Request
The Alabama Medicaid Agency would get an additional $15 million under a General Fund budget approved by a committee today, still well short of what the agency requested. Medicaid Commissioner Stephanie Azar told the House Ways and Means General Fund Committee that the increase in the agency's General Fund appropriation, to $700 million, would not be enough to sustain its transformation to managed care. That means the state would lose up to $747 million in federal funds to help with the transformation under a five-year project, Azar said. (Cason, 3/9)
Montgomery (Ala.) Advertiser:
House Committee Approves $1.8 Billion General Fund
[T]he increases in the General Fund, passed on a voice vote Wednesday, are short of what Medicaid needs to function and don’t address structural issues with funding state services. ... The new revenue led to a $15 million increase for the Alabama Medicaid Agency, bringing its General Fund allocation from $685 million to $700 million. Medicaid says it needs $100 million to maintain services and implement regional care organizations (RCOs), which would move Medicaid to a managed care model and aim to slow cost growth in the program. (Lyman, 3/9)
Charleston (S.C.) Post Courier:
Provision To Cut Medicaid Behavioral Health Providers
The South Carolina Medicaid agency is attempting to further rein in spending after the state overspent nearly $60 million last fiscal year on low-income patients with behavioral health problems, including thousands of children with attention deficit disorder. The excess spending was a result of fraudulent claims filed by Medicaid providers, according to the state agency. (Asberry, 3/9)
Des Moines Register:
Medicaid Management Firms' Clinics Defended
“Wellness centers” owned by the companies managing Iowa’s Medicaid program won’t necessarily pose a problem, the state’s human-services director said Wednesday. “I don’t think we should jump out of pocket and say it’s a bad idea,” Charles Palmer said. ... The subject was raised Wednesday by Kim Spading, a University of Iowa pharmacist who serves on the state Human Services Council. Spading alluded to concerns that clinics run by the managed-care companies would have a conflict of interests, because they would be providing services and paying the bills. (Leys, 3/9)
