A federal judge granted an injunction last week that stopped the state of California from implementing a 10% reimbursement cut to skilled nursing facilities operating within hospitals.
The 10% cuts, which U.S. District Judge Christina Snyder said violated the federal Medicaid Act, were a part of the state’s 2011-2012 budget, signed into law last March by Gov. Jerry Brown (D). Snyder also granted a separate injunction that prevented cuts to pharmacies participating in Medi-Cal, California’s Medicaid program. The injunction was requested by the California Hospital Association.
“The state’s fiscal crisis does not outweigh the serious irreparable injury the plaintiffs would suffer absent the issuance of an injunction,” Snyder stated in her decision, according to Bloomberg News.
A spokesman for California’s Health Care Services Department told Bloomberg that his office is planning to repeal the decision.
