Long-Term Care

Pending Medicaid cuts would drastically affect many states

Contemporary Long-Term Care Weekly, June 10, 2010

More than 30 states may be forced to address significant budget deficits in the approaching fiscal year if the Congress cuts billions of dollars in anticipated aid. Most states expected that Congress would increase Medicaid funding by passing a six-month extension to the enhanced Federal Medical Assistance Percentages (FMAP), and as a result those states built that amount into their budgets. But in an attempt to limit deficit spending, House leaders approved cuts within a tax and jobs bill that passed in May, according to The New York Times.

If the Senate does not restore the funding, states that expected massive amounts of Medicaid assistance, like California ($1.5 billion) and Pennsylvania ($850 million), would be forced to take drastic measures in an effort to recuperate budgetary demands. Governors across the country are lobbying their state’s Congressmen and women to eradicate the cuts and pass the extension of increased federal spending on Medicaid.

Most Popular

Related Articles