Louisiana Medicaid Services Could Be Cut Under FY 2009 State Budget, State Health Officials Say

Main Category: Medicare / Medicaid / SCHIP
Article Date: 17 Jul 2008 - 11:00 PDT

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Louisiana's $29.9 billion fiscal year 2009 budget, which Gov. Bobby Jindal (R) signed into law on Monday, could result in cuts to state health programs for low-income, elderly and uninsured state residents, state Department of Health and Hospitals Secretary Alan Levine said on Monday, the Baton Rouge Advocate reports. The budget allocates $6.76 billion for Medicaid, nearly $50 million short of Jindal's request, according to DHH Undersecretary Charles Castille. Castille said the shortfall is part of the $4.66 billion allocated to reimburse private health care providers.

Levine said, "Some time in the next few weeks, I'm going to have to project a deficit in Medicaid on the basis it is not fully funded." By law, Levine is required to submit a report to the state Legislature on the projected Medicaid shortfall and how the agency plans to address it. Levine said, "Once we do project the shortfall, we want to quickly address it because the longer we wait, the worse it gets," adding, "Our commitment is to look at efficiencies in the program first instead of cutting provider (reimbursement) rates." However, Castille said, "If we can't do it through efficiencies, we may have to look at rate cuts" (Shuler, Baton Rouge Advocate, 7/15).

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