Monday, March 28, 2005

Iowa Makes Deal to Retain Medicaid Money  AP story at Yahoo - "Iowa has struck a deal with federal officials that allows the state to retain $66 million in Medicaid funding it would have lost next summer because of a government crackdown on an accounting gimmick. Iowa is the first state to reach such an agreement with Washington. For years, Iowa and other states used an accounting practice — awarding state money to hospitals and nursing homes, and then moving it back again — to boost federal Medicaid matching funds. However, Medicaid officials have told states that such transfers will not be allowed past July 1."  
  

Feds OK TennCare enrollee cuts (Tennessee) Story in The Tennessean - "The federal government yesterday gave its approval to Gov. Phil Bredesen's plan to eliminate health-care coverage for 323,000 Tennesseans on TennCare. Late yesterday, the state received word from the Department of Health and Human Services that it can move forward with the first phase of its overhaul of the health insurance program that provides coverage to 1.3 million poor, elderly and people with disabilities. While approval from the federal agency is a necessary first step in making TennCare cuts, the state is still under a federal judge's order that prohibits cuts before a hearing, scheduled to begin Monday, to review the state's decision."