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Morning Briefing

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Friday, Nov 18 2016

Full Issue

Report Finds Kansas' Move To Private Management Of Medicaid Fails To Improve Care

The report, by the consulting firm Leavitt Partners, was commissioned by three health care groups and recommends that the state become more involved in its Medicaid program. Also, outlets report on Medicaid news from Louisiana, Kentucky and Tennessee.

An analysis of KanCare performed by a former Republican governor鈥檚 think tank found that the switch to managed care Medicaid in Kansas has delivered on cost-cutting promises but not on quality of care. Leavitt Partners, a policy consulting shop founded by former Utah Gov. Michael Leavitt, performed the analysis between May and October by interviewing KanCare providers and reviewing federal and state data. 鈥淎cross the providers that we interviewed and surveyed, there was general agreement that KanCare has not met its original rationale and commitments,鈥 Robin Arnold-Williams, a principal at Leavitt Partners who specializes in Medicaid, said in a written summary of the analysis. (Marso, 11/17)

In Sabetha, Kan., Jody Reel and her husband own a pharmacy and do their own plumbing because they can鈥檛 afford a plumber. That part they can understand 鈥 if you own a small business, sometimes you have to be flexible. But what troubles her is how changes in Kansas to the Medicaid program have made things more difficult for both her and her customers. Because of those changes, she said, she鈥檚 technically losing money on every Medicaid prescription. (Woodall, 11/17)

Frustration among legislators and Medicaid service providers with management of Kansas鈥 privatized system resurfaced Thursday in conjunction with a consulting firm鈥檚 report asserting the overhaul failed to deliver on promises of improvement in quality of health care. The critique occurred as the administration of Gov. Sam Brownback faced a $350 million tax revenue shortfall in the current state budget and worked to develop new contracts with insurance companies running the $3 billion KanCare system serving 400,000 poor, disabled and elderly Kansans. (Carpenter, 11/17)

Gov. John Bel Edwards聽will be proposing that higher education be cut by $18 million and the state delay Medicaid payments again to health care providers to deal with the state's $315 million midyear budget deficit. ... But the bulk of the $315 million midyear budget deficit will be dealt with by pushing off $152 million worth of financial payments to Medicaid providers into the next year. The payments will eventually have to made -- so the expense doesn't go away -- but delaying them will help the state avoid substantial cuts in the short term. (O'Donoghue, 11/17)

The number of emergency room visits in Kentucky hasn鈥檛 gone up much since Medicaid expanded or people started getting coverage on the individual market. That鈥檚 according to a new report from the Foundation for a Healthy Kentucky. ... Now, more of them have Medicaid coverage, but they鈥檙e using the coverage for the same type of ER visit. The percentage of people in the emergency room with Medicaid coverage did increase quite a bit by 2015, with almost half covered by Medicaid. That鈥檚 up from 30 percent in 2012. (Gillespie, 11/18)

Not only will state lawmakers鈥 efforts to establish a TennCare expansion pilot program using federal Medicaid funding continue under a Trump administration, Tennessee鈥檚 congressional delegation is likely to be engaged in the coming months, members of a special task force said Thursday. 鈥淚t鈥檚 going to be very important 鈥 to be very close to our congressional delegation to give us guidance to make sure that what we鈥檙e doing is going to maximize the ability of Tennessee,鈥 said Tony Spezia, CEO emeritus of Covenant Health. Spezia, who joined the task force for the first time聽Thursday, discussed the idea of engaging the delegation as part of a larger discussion on the prospect that the federal government could issue block grants for Medicaid funding under a Trump administration. (Ebert, 11/17)

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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