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Tuesday, Aug 11 2015

Full Issue

N.C., Ala. State Houses Struggle With Medicaid Revamp Efforts, Budget Issues

The North Carolina Senate gave tentative approval to a bill that would overhaul the state's Medicaid program. In Alabama, the legislature continues to struggle with budget issues that could translate into deep cuts for the state-federal low-income health insurance program.

The state Senate on Monday night tentatively approved its latest version of privatizing Medicaid, by a 38-10 vote. The final vote is scheduled to take place Tuesday, and then the bill will be returned to the House for consideration. It isn鈥檛 clear if the House will go along with the changes. The legislation, House Bill 372, calls for a mix of commercial insurers and in-state health care providers, and a change from the current fee-for-service system to a per-member monthly cost. That is meant to encourage patients and medical providers to control health-care costs. The state would not be responsible for overruns 鈥 bringing more certainty to a volatile piece of the state budget that involves billions of dollars each year. (Jarvis, 8/10)

N.C. Attorney General Roy Cooper on Monday called on Gov. Pat McCrory to expand Medicaid health insurance for the poor, elderly and disabled in North Carolina, saying the governor was playing 鈥減olitical games.鈥 Cooper, who is running for the Democratic nomination to oppose McCrory next year, emailed supporters asking them to sign a petition telling the governor to expand coverage now. (Jarvis, 8/10)

The state Senate gave tentative approval Monday to revamping North Carolina's Medicaid program, voting 38-10 to create a system that would use both out-of-state managed care companies as well as home-grown "provider-led entities" to care for the state's poor and disabled. A final vote on House Bill 372 is expected Tuesday. (Binker, 8/10)

The Alabama Senate voted 19-15 to pass a $1.65 billion General Fund budget with major cuts to state agencies, ranging from Medicaid to law enforcement to the state's judicial system. ... About three hours later, the Alabama House of Representatives -- which sent a budget to the Senate with a $156 million cut to the state's Medicaid program last week -- rejected the Senate proposal 92 to 2. ... The $1.65 billion General Fund budget was very similar to the one passed by the Legislature in June and vetoed by [Gov. Robert] Bentley. The major difference was the addition of $16 million for prison reform, and a rollback of a Medicaid cut approved by the House from $156 million to about $34.2 million. ... Republicans in the House said they never expected the $156 million cut to become law. The goal, they said, was to start a conversation about Medicaid鈥檚 importance ... of to the state鈥檚 health care system. Over 1 million Alabamians qualify for Medicaid; more than half are children. (Lyman, 8/10)

The House had cut $156 million from Medicaid before sending it to the Senate last week, enough to possibly end a program that serves about 1 million Alabamians. House leaders said they did not intend for those cuts to take effect, but were trying to send a message on the need for a serious discussion about how to fund Medicaid, which takes more than one-third of the General Fund. The Senate restored most of Medicaid's funding, but the version of the budget it sent back to the House also cut most agencies significantly. (Cason, 8/10)

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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