The subject of Medicaid and budget deficits has been a main topic of discussion since the legislators came into session in January.  The SCDA and the SCDA lobbyists have been involved in subcommittee hearings, committee hearings and meetings, testified before committees and actively attended numerous other functions at the State House.  This email is to provide you with the latest information as it stands today:

• Reimbursement rates for the current fiscal year ending June 30, 2011, are safe for now.  A bill submitted several weeks ago created a lot of stir and barely passed the Senate Finance Committee.  This bill is on the Senate calendar, but is contested.  However, we learned today that the bill may be debated and voted upon very soon.
• Earlier this week, the Budget Committee did vote to remove the proviso that prohibits the DHHS Director from cutting rates for the new fiscal year 2011-2012.  This still has to be approved by the full legislature, but all signs point to it passing.  If approved, these cuts will be across the board and will affect all segments of the health care industry.
• The adult program, an optional program, remains removed as a Medicaid covered service.

The SCDA will remain involved to do all we can, but it remains doubtful that we will be able to preserve the current provider rates.  We wanted to alert you to this news so you may budget your office income accordingly.