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Nov 3, 2009 12:14 PM by sleonard

DHH tackles the Medicaid budget shortfall

Being faced with a $308 million budget shortfall in the Medicaid Program is serious, and the Administration has had to make tough, strategic decisions to ensure that core programs within Medicaid remain intact to protect critical healthcare services for those in need.

On behalf of the Louisiana Hospital Association and our member hospitals, I would like to thank Governor Jindal, the Department of Health and Hospitals and Secretary Alan Levine for taking careful consideration in prioritizing mid-year cuts to Medicaid providers by not furthering reductions to hospitals and physicians. Medicaid funding for both hospitals and physicians was severely cut during the 2009 Legislative Session, and we have begun to see the negative impact of those reductions. Many hospitals around the state literally cannot afford another Medicaid cut without communities and patients suffering severe consequences.

DHH has been working on strategies to streamline the Medicaid system in Louisiana and to protect our rural hospitals and our physician services to children under 16. The LHA will continue to work with the Administration on these initiatives, as well as on solutions to improve our healthcare system, so that every resident, whether they are insured, on Medicaid, on Medicare or uninsured, will receive quality healthcare in the communities where they live.

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