The Obama administration has approved a request to cut Medicaid payments to California healthcare providers, including nursing homes, by 10%, which will mean $623 million in less reimbursement over the next two years.
A U.S. Circuit Court of Appeals in Arizona ruled that requiring state Medicaid recipients to pay copayments for medical care and prescription drugs violates federal law.
An Arizona state Senate panel voted 8-5 in favor of bill that would cut the state's Medicaid program, which is known as the Arizona Health Care Cost Containment System. Arizona Gov. Jan Brewer (R) already has proposed dropping 250,000 existing beneficiaries from the program.
With Arizona and other states already seeking to drop coverage for thousands of Medicaid recipients, governors are asking the federal government for help in dealing with Medicaid budget shortfalls.