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Morning Briefing

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Monday, Jan 26 2015

Full Issue

Governors' Budget Plans Touch State Employee Health Benefits, Medicaid

News outlets report on the health policy impact of budget blueprints advanced by the governors of California, Georgia and Maryland.

After years of making concessions to Gov. Jerry Brown, California labor leaders had hoped that the fourth-and-final-term Democrat finally would be in a giving mood. But after the governor鈥檚 budget proposal two weeks ago, several unions are bracing for tough talks in the coming months about Brown鈥檚 determination to cut the state鈥檚 costs of insuring employees and retirees. A range of options are on the table, from cheaper insurance plans and smaller subsidies to extending how long new hires must work to qualify for retiree health benefits. (Ortiz, 1/25)

Gov. Nathan Deal鈥檚 proposed budget would eliminate health coverage for about 11,500 鈥渘on-certified鈥 school employees who work an average of 30 hours or less a week. Blindsided leaders of many of these groups are mobilizing against the plan, lobbying lawmakers not to support it. (Stirgus, 1/25)

State analysts are scheduled to go over the governor鈥檚 plan with lawmakers on committees that will be working on the budget this legislative session. Hogan, a Republican, submitted a balanced budget plan last week that addresses a shortfall of roughly $750 million. The budget includes cuts, such as reductions in rates paid to Medicaid healthcare providers and cost-of-living adjustments for state employees. (1/26)

Hogan also wants to cancel a 2 percent pay raise for state employees, reduce state agency spending by 2 percent and roll back the rate Maryland pays doctors who participate in Medicaid, the state health insurance program for the poor. (Wagner and Hernandez, 1/23)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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