New reports detail hits taken by Medicaid programs in state budget cuts

Oct 29 2009

State Medicaid and other health programs have fallen under the axe or been moved onto the chopping block this week.

Associated Press: "Gov. Jay Nixon cut an additional $204 million from Missouri's budget Wednesday and eliminated nearly 700 jobs in attempt to offset a continued decline in state tax revenues." The cuts include lowering Medicaid payments (Lieb, 10/18).

Columbia Missourian: "Under Nixon's plan, Medicaid programs face a loss of more than $32 million, mental health programs will lose $3 million, and MU Health Care-affiliated hospitals and clinics around the state will lose $3 million. … Nixon said services will not be drastically affected. Health care advocates, however, said there would be an impact on health care" (Beitsch, 10/29).

Associated Press: "Health care services for the needy may be sharply reduced if New Mexico Gov. Bill Richardson signs a budget-cutting measure approved by the Legislature, the administration said Tuesday." The health department stands to lose about $38 million in state funding, as well as an additional $115 million in federal matching money (Massey, 10/28).

Associated Press: "Colorado Gov. Bill Ritter laid out his plan to cut another $286 million from the state budget on Wednesday, including reductions in Medicaid provider rates" (Paulson, 10/28).

Providence Journal: In an unrelated story, two nonprofit Rhode Island hospitals have gained approval to affiliate under a corporate parent. The new company would control 15 percent of the state's hospital market. Officials said their main concerns where that the new hospital company continue providing care to Rhode Island patients, and that it preserve jobs (Salit, 10/29).

Las Vegas Sun: The Nevada health department has begun an investigation into an allegedly negligent nursing home. "All 139 elderly patients at an assisted-living and Alzheimer's facility may have gone without their medications for weeks." (Allen, 10/29).