2014 Special Session I

Budget Amendments - HB5002 (Floor Approved)

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Adjust Medicaid Forecast

Item 301 #2h

Item 301 #2h

First Year - FY2015 Second Year - FY2016
Health and Human Resources
Medical Assistance Services, Department of FY2015 ($28,503,329) FY2016 ($4,842,909) GF
FY2015 ($4,503,329) FY2016 ($4,842,909) NGF

Page 245, line 42, strike "$8,495,724,272" and insert "$8,462,717,614".
Page 245, line 42, strike "$8,761,183,102" and insert "$8,751,497,284".

(This amendment recognizes savings of $28.5 million the first year and $4.8 million the second year from the general fund for the Medicaid program. The Medicaid forecast completed in November 2013 underestimated the savings to Medicaid indigent care payments in the 2014-16 biennium due to provisions related to the availability of subsidized private health insurance offered through a Health Benefits Exchange included in the federal Patient Protection and Affordable Care Act (PPACA). Individuals with incomes between 100 and 200 percent of the federal poverty level are now eligible to purchase subsidized health insurance available through the federal Health Benefits Exchange. Recently revised estimates of the the number of those who would be eligible to purchase health insurance through the exchange result in these additional program savings to the general fund of $4.5 million the first year and $4.8 million the second year and a like amount of savings each year in matching federal Medicaid funding. In addition, the amendment recognizes savings of $24.0 million to the general fund in fiscal year 2015 which had been included in the Medicaid forecast in the event the program had to repay the federal government for disputed Medicaid payments made to physicians and pharmacists who provided services to Medicaid eligible children residing in free-standing children's psychiatric hospitals or residential treatment centers. The federal Centers for Medicare and Medicaid have recently accepted the corrective action plan for implementing required billing changes effective July 1, 2014 and the funding is no longer needed to settle the disputed payments.)