HHS Secretary Kathleen Sebelius has approved a request by Arizona Governor Jan Brewer to cut the number of Medicaid beneficiaries in the state by 250,000, saving $541.5 million, according to a Bloomberg report.
Arizona faces at $1.2 billion budget deficit in its upcoming fiscal year, and more than 70 percent of the deficit is attributed to Medicaid, according to the report.
While healthcare reform requires states to maintain Medicaid coverage for eligible residents, Arizona is currently covering childless adults through a federal waiver that expires Sept. 20. Reductions in Medicare enrollment due to the waiver's expiration would not be considered a violation of the reform law, according to Sec. Sebelius's response to Gov. Brewer's request, according to the report.
Read the Bloomberg report on Arizona Medicaid.
Read more coverage on Arizona Medicaid:
- Arizona Hospitals Want to Assess $300 Million Bed Tax to Counter Medicaid Cuts
- Arizona to Ask for Medicaid Waiver to Reduce Eligibility
Arizona faces at $1.2 billion budget deficit in its upcoming fiscal year, and more than 70 percent of the deficit is attributed to Medicaid, according to the report.
While healthcare reform requires states to maintain Medicaid coverage for eligible residents, Arizona is currently covering childless adults through a federal waiver that expires Sept. 20. Reductions in Medicare enrollment due to the waiver's expiration would not be considered a violation of the reform law, according to Sec. Sebelius's response to Gov. Brewer's request, according to the report.
Read the Bloomberg report on Arizona Medicaid.
Read more coverage on Arizona Medicaid:
- Arizona Hospitals Want to Assess $300 Million Bed Tax to Counter Medicaid Cuts
- Arizona to Ask for Medicaid Waiver to Reduce Eligibility