Legislators Must Restore Medi-Cal Eligibility Rules To Ensure State Can Get Vital Federal Funding For Health Care

Main Category: Public Health
Article Date: 18 Mar 2009 - 2:00 PDT

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The California Medical Association warned today that time is running out for the state to restore Medi-Cal eligibility rules allowing it to qualify for more than $10 billion in federal health care funding.

The increased Medi-Cal assistance is part of the federal stimulus package signed by President Obama last month. Under the legislation, a state's eligibility and renewal procedures for the program cannot be more limiting than they were on July 1, 2008.

As part of the budget deal enacted last September, California moved from annual to semi-annual reporting on Medi-Cal eligibility. That added provision must be lifted in order for the state to receive the higher federal reimbursements for the program.

"It's unfortunate that the state's budget picture continues to deteriorate," said Dr. Dev A. GnanaDev, CMA president. "One thing lawmakers can do right away is restore Medi-Cal's eligibility rules and bring health care to thousands of poor and unemployed Californians who need it."

The money would come from an increase in Federal Medical Assistance Percentages (FMAP), which determine how much reimbursement states get when providing Medicaid, contained in the stimulus package. The temporary increase in FMAP applies to the period Oct. 1, 2008 through Dec. 31, 2010.

If the Legislature makes the eligibility change by April 1, the funding can be considered as federal stimulus assistance. The state treasurer and finance director must determine on April 1 whether the state has received enough federal funding to prevent additional taxes and cuts to Medi-Cal called for in the state budget.

The California Medical Association represents more than 35,000 physicians in all modes of practice and specialties. CMA is dedicated to the health of all patients in California.

Source
California Medical Association

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