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Thursday, Mar 24 2016

Full Issue

R.I. Seeks To Recoup Millions That Was Overpaid To Insurers For Medicaid

State officials say they expect to collect most of the money, but critics question whether the state acted quickly enough on the problem. Meanwhile, in Alabama, the legislature approves a budget that the governor has vowed to veto because of low Medicaid funding.

Off-target assumptions on the cost of insuring 60,000 new Medicaid enrollees led to a temporary windfall for two health insurers, but state officials on Tuesday said they expect to collect most of the $133 million in remaining overpayments by June and all of it by the end of the year. However, questions remain about whether Rhode Island acted quickly enough to slow and recoup payments to United Healthcare and Neighborhood Health Plan from growing to $208 million last year, as identified in a report from Auditor General Dennis Hoyle on Monday. (Gregg and Anderson, 3/23)

The Alabama Legislature Wednesday gave final approval to a $1.8 billion General Fund budget, sending it to Gov. Robert Bentley. They鈥檒l likely see it again. The Senate Tuesday voted 20 to 13 to concur in the House version of the budget, which level-funds most state agencies but gives the Alabama Medicaid Agency $85 million less than what the agency says it needs to maintain current services, which would allow it to begin implementation of a managed-care model for the program aimed at easing costs. ... Gov. Robert Bentley has said a budget with less than a $100 million boost for Medicaid would bring his veto and a special session. (Lyman, 3/23)

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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