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Louisiana Medicaid program has $50M budget gap

3 years 4 weeks 6 hours ago November 05, 2013 Nov 5, 2013 Tuesday, November 05 2013 November 05, 2013 1:45 PM in News
Source: Associated Press

BATON ROUGE- The state's Medicaid program has a $50 million budget gap.

The shortfall was detailed in a financial update to the Legislature's joint budget committee from the Department of Health and Hospitals.

DHH Undersecretary Jerry Phillips says he doesn't expect any cuts to fall on services or the health care providers who care for Medicaid patients. Instead, he says the department will ask lawmakers for dollars to close the hole in the next legislative session.

To avoid cuts, lawmakers and Gov. Bobby Jindal's administration will need to come up with about $19 million in state cash, which can draw down federal matching money.

DHH says the shortfall is tied to a court order requiring coverage of certain therapy services and a tax on managed care organizations under the federal health law.

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