Kaiser Daily Health Policy Report Highlights Medicaid Developments In Missouri, Oklahoma

Main Category: Medicare / Medicaid / SCHIP
Article Date: 31 Mar 2008 - 9:00 PDT

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Summarizes of Medicaid developments in Missouri and Oklahoma appear below.

• Missouri: The Missouri House on Wednesday voted 88-61 to reject a bill that would have expanded Medicaid coverage to state residents with incomes up to 90% of the federal poverty level -- nearly four times the current eligibility limit, the Kansas City Star reports. The expansion would have been funded with $69.5 million in special hospital taxes and $109 million in federal matching funds. Gov. Matt Blunt (R) had proposed using the same funding mechanism for his proposed Insure Missouri program. However, bill sponsor state Rep. Rebecca McClanahan (D) said the Medicaid expansion would be more efficient because the program has lower administrative costs than the private insurance companies that would provide coverage under Blunt's plan. The House also voted 78-74 to reject a measure that would have used $9.1 million in state funds to expand dental and vision coverage for Medicaid beneficiaries. However, a proposal to allocate $2.2 million to restore physical and other therapy services was approved (Wager, Kansas City Star, 3/26).
  
  
• Oklahoma: The Oklahoma Court of Civil Appeals earlier this month granted class-action status to a lawsuit against the state alleging that Medicaid reimbursements to nursing homes are inadequate, the Daily Oklahoman reports. Class-action status allows all of the state's 370 nursing homes to join the suit. Attorneys for the plaintiffs say they are owed millions of dollars because reimbursement rates have not covered increasing operating costs and government mandates. Marjorie Galt, an attorney representing the nursing homes, said about 70 nursing homes in the state have closed in the past few years because the rates have not covered costs. The state denies the claims. According to court documents filed by state attorneys, reimbursement rates have increased steadily since 2000. Howard Pallotta -- general counsel for the Oklahoma Health Care Authority, which administers the state Medicaid program -- said that bad management, inability to cover mortgages and other issues could have caused the centers to close (Ellis, Daily Oklahoman, 3/24).

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