Medi-Cal

Latest California Healthline Stories

State ‘De-links’ Mandatory Enrollment from Duals Project

The Department of Health Care Services last week announced a new provision of Cal MediConnect that would establish a means of abandoning the state’s duals demonstration project  if it doesn’t meet a financial benchmark.

The department also wants to “de-link” mandatory enrollment from the demonstration project, according to Jane Ogle, deputy director at DHCS.

“On the program side, we de-linked mandatory enrollment of duals. That way, we’ll have long-term services and supports as Medi-Cal benefits,” she said.

DHCS Transparency Bill Moves Forward

The Senate Committee on Health this week approved a bill that would set new standards of accountability and transparency at the Department of Health Care Services.

AB 209 by Assembly member Richard Pan (D-Sacramento) received unanimous committee approval Wednesday and now heads for a Senate floor vote, the step before it can be sent to the governor’s desk.

The bill wants to hold the department accountable for problems that arise with patients moving to Medi-Cal managed care plans with stronger, measurable benchmarks, Pan said.

Reversing Medi-Cal Cuts Priorty for Latino Lawmakers

Members of the legislative Latino Caucus on Tuesday laid out their agenda that includes some form of reversal of the 10% reduction in payments to Medi-Cal providers.

The Legislature passed the 10% cut in 2011, but it was delayed until a federal appeals court ruling upheld the reduction two weeks ago. State officials said the bulk of the cutbacks will begin in September.

Although the case may be appealed to the U.S. Supreme Court, the federal appeals court ruling May 24 puts pressure on the Legislature to come up with an alternative. Some lawmakers — including the Latino Caucus — have been working to craft a legislative answer. Two members of the Latino Caucus  in particular have been front-and-center in efforts to reverse the rate cuts.

Protesters Swarm Sacramento to Protest Medi-Cal Cuts

The Capitol yesterday swarmed with protesters upset about a 10% cut in reimbursements to Medi-Cal providers  that has raised concerns about the state’s ability to provide access to Medicaid beneficiaries.

“Health care, especially in the hospitals, it’s not always working,” said Sonia De La Torre, a hospital worker who got on a bus at 4 a.m. yesterday in Corona (Riverside County) to attend the Sacramento rally. “When people come into the hospital with no insurance, they get basic care, at best. We want to make sure people get treatment.”

Police estimated 8,000 people gathered outside the Capitol Building yesterday. Musicians took the main stage early in the day, replaced later by speakers including event organizers and legislators.

Budget Process Latest Way to Reverse Cuts

Thousands of providers, patients, health care professionals and other protesters are expected to gather today outside the Capitol Building to support the idea of reversing a 10% Medi-Cal provider rate cut. Organizers say it will be the largest health care protest in Sacramento history.

“We have people hopping on buses in Oceanside at 4 in the morning to get here,” said Molly Weedn, director of media relations for the California Medical Association. “People are coming from all over the state, and we’ve seen support from both sides in the Legislature. All of this [support] shows that the public doesn’t want Medi-Cal to be cut, so that’s why we’re doing this.”

It has been a tough couple of weeks for proponents of reversing the rate cut made in 2011 and not yet implemented because of court battles.

Assembly Takes Up Health Care ‘Loophole’

The Assembly this week is expected to debate a bill that would penalize large employers who reduce workers’ hours or wages in an attempt to move those employees off company-sponsored health care and into Medi-Cal coverage.

“We want to close that loophole that allows some of the largest and most profitable businesses in California to skirt their responsibility under the Affordable Care Act,” said Assembly member Jimmy Gomez (D-Los Angeles), author of AB 880.

Some large employers, he said, want to lower wages or hours of employees so those workers would earn a low-enough wage to become eligible for Medi-Cal, “dumping them onto the backs of the taxpayers,” Gomez said.

Federal Court Upholds 10% Medi-Cal Provider Cut

The United States Ninth Circuit Court of Appeals on Friday upheld the right of California to impose a 10% rate reduction on providers of Medi-Cal services.

The long-awaited ruling is the last judicial step, short of the U.S. Supreme Court, for the controversial cut to hospitals, physicians, emergency transport and dentists. Provider groups have said they would likely appeal the rate reduction to the Supreme Court.

The federal ruling lifted the injunctions on implementing the reductions. Outside of a Supreme Court appeal, the federal judicial panel clearly stated there would be no further appeals considered.

Federal Ruling, State Law May Conflict

In 2011, the Legislature went along with the governor’s plan to cut Medi-Cal provider rates by 10%. Provider groups immediately went to the courts to stop it, saying that patient access to care would be threatened by such a severe reduction. Now the final decision rests with a federal judge. A ruling is expected soon.

If a federal judge signs off on the law, Medi-Cal providers in California will have rates cut by 10% and also will need to pay back two years’ worth of that 10% reduction. The effect would be a 15% rate cut for the next four years and a 10% cut thereafter.

The 10% cut represents about $600 million a year to the California budget.