Proposed Medicaid Cuts Could Violate Court Settlement

AUSTIN, Texas (AP) _ A state official says a proposal to cut reimbursement rates to certain Medicaid providers could violate a 2007 court settlement in which the state agreed to improve access to medical care for poor children.

Initial drafts of the budget propose reducing reimbursement rates by more than 10 percent.

But Health and Human Services Commissioner Tom Seuhs said that might violate the court-approved settlement.

“If you cut primary care doctors rate an additional 10 percent, I’m not sure I can comply with the access provisions,” Seuhs said, under questioning from the vice-chairman of the House Appropriations Committee.

Seuhs said he’s requested the rates be restored.

The proposal is estimated to save millions as the state works to write its next budget with a revenue shortfall of more than $15 billion.

(Copyright 2011 by The Associated Press.  All Rights Reserved.)

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