In efforts to keep Medicaid afloat, Anthony Keck, the director of South Carolina's Medicaid program, has proposed a $125 million cut to physicians and hospitals as well as $36 million in delayed payments to managed care groups that pay physicians and hospitals, according to a CNBC news report.
The proposal, especially the plans to delay payments, was cause for concern for House Minority Leader Harry Ott. "Does that mean we're giving them permission not to pay their bills on time? This is not a way to run a business," Mr. Ott said. "It's a terrible precedent."
Mr. Ott also expressed his concern over rate cuts for physicians and hospitals, claiming such a drastic move could result in job loss and a negative impact on Medicaid patients' access to care, according to the report.
However, Mr. Keck said a 10 percent rate cut is "not unreasonable" and can be adjusted in the future, if too extreme. Job loss, he said, also shouldn't be a problem "because the Medicaid business would shift around," according to the report.
Read the news report about South Carolina Medicaid.
Read other coverage about Medicaid:
- Arizona Senate Committee Votes to Drop Out of Medicaid
- Ohio Hospitals Ask to Keep Paying Fees to Avoid Medicaid Cuts
- Minnesota Expands Medicaid While Other States Seek Cuts
The proposal, especially the plans to delay payments, was cause for concern for House Minority Leader Harry Ott. "Does that mean we're giving them permission not to pay their bills on time? This is not a way to run a business," Mr. Ott said. "It's a terrible precedent."
Mr. Ott also expressed his concern over rate cuts for physicians and hospitals, claiming such a drastic move could result in job loss and a negative impact on Medicaid patients' access to care, according to the report.
However, Mr. Keck said a 10 percent rate cut is "not unreasonable" and can be adjusted in the future, if too extreme. Job loss, he said, also shouldn't be a problem "because the Medicaid business would shift around," according to the report.
Read the news report about South Carolina Medicaid.
Read other coverage about Medicaid:
- Arizona Senate Committee Votes to Drop Out of Medicaid
- Ohio Hospitals Ask to Keep Paying Fees to Avoid Medicaid Cuts
- Minnesota Expands Medicaid While Other States Seek Cuts