FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006.

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FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006

Transcript of FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006.

Page 1: FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006.

FY 2007 Medicaid BudgetUpdate

Medicaid Advisory Committee Meeting

April 27, 2006

Page 2: FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006.

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Legislative Actions

Increases were made to rates for personal care providers and private duty nurses ($11.8 million total, $5.3 million general funds).

Hospital day limits were eased to 120%22 average length of stay ($20.0 million total, $10.0 million general funds).

The Employed Individuals with Disabilities program was expanded to allow a total of 1,500 individuals to buy into the Medicaid program who would not otherwise qualify for Medicaid due to their income ($10.8 million total, $5.3 million general funds).

Page 3: FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006.

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Legislative Actions (cont’d)

The Living at Home and Older Adults waivers were expanded to include a total of 245 additional slots ($4.0 million total, $2.0 million general funds).

The Primary Adult Care program will expand to include all Maryland Pharmacy Assistance Program participants. With federal approval of a waiver for these services, primary and preventive care will be extended to an additional 20,000 individuals with no anticipated increase in State funds.

Page 4: FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006.

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Legislative Actions (cont’d)

Physician rates were increased with funds available from the repeal of the premium tax exemption for HMOs and MCOs ($30.6 million total, $15.0 special funds).

Legislative actions reduced funds due to lower-than-anticipated pharmacy clawback requirements ($8.9 million general funds) and federal cost containment changes ($10.0 million total, $5.0 million general funds).

Page 5: FY 2007 Medicaid Budget Update Medicaid Advisory Committee Meeting April 27, 2006.

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Legislative Actions (cont’d)

Legislative Budget Bill language was adopted to restore rate reductions of $10 million in nursing homes and $0.7 million in adult medical day care services, and to increase medical child care rates by $0.2 million. No new revenue was identified to support these increases. (The rate reductions were part of a Departmental cost containment action reducing rates by about one-third, which was an improvement from the two-third reduction from fiscal 2006).


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