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Program Changes Help Kentucky Medicaid Avoid Projected Deficit

The Kentucky Medicaid program will be able to fund the $5.7 billion annual cost of the program, avoiding a deficit that in 2005 was projected to range from $125 million to $675 million, Health and Family Services Secretary Mark Birdwhistell said on Monday, the Lexington Herald-Leader reports. The state implemented the changes after receiving a federal waiver, which also generated an additional $55 million in federal funds for the program. Speaking to the state Medicaid oversight committee, Birdwhistell attributed the improved financial outlook to program changes implemented under Gov. Ernie Fletcher's (R) administration.

The changes include:
Reducing average overall cost of health care for Medicaid beneficiaries from $119 per beneficiary per week in 2005 to $115 per week in 2006, for an overall savings of $67.6 million for the year;

Increasing the use of generic prescription drugs while decreasing the average number of prescriptions per beneficiary to 3.6; and

Launching a pilot program to educate state residents on management and prevention of chronic illnesses, resulting in a decreased number of emergency department visits.

However, Birdwhistell said pilot prevention programs are not helping as many residents as he had hoped and the transition to use new technology to coordinate Medicaid was not "seamless." In addition, some physicians and providers have complained that it still takes too long for the state to approve physicians to accept Medicaid beneficiaries (Alessi, Lexington Herald-Leader, 6/26).

While "the outlook is encouraging, some Democratic leaders are hesitant to say the state's Medicaid crisis has been averted," according to the AP/Herald-Leader. State Rep. Stan Lee (D) said, "I won't say I feel confident that we've overcome the deficit," but "we've had some very, very good beginnings" (AP/Lexington Herald-Leader, 6/26).

"Reprinted with permission from http://www.kaisernetwork.org. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at http://www.kaisernetwork.org/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork.org, a free service of The Henry J. Kaiser Family Foundation . © 2005 Advisory Board Company and Kaiser Family Foundation. All rights reserved.





Programul de modificãri ajuta Kentucky Medicaid evita deficitul proiectat - Program Changes Help Kentucky Medicaid Avoid Projected Deficit - articole medicale engleza - startsanatate