Louisiana considers cut in Medicaid payments to providers

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The Louisiana Department of Health and Hospitals is preparing for an across-the-board cut of 6-7% in Medicaid payments for nursing homes, private hospitals, doctors and other providers.

Uncertainty over federal assistance has forced the state to consider these cuts, said Fred Cerise, secretary of the department. The U.S. Senate and House have approved different versions of a proposal to allow the state to temporarily forego its usual Medicaid contribution.
 
The state's Medicaid spending has been reduced by $260 million following Hurricanes Rita and Katrina because beneficiaries have relocated elsewhere.
(Published 11-11-05)
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