Noteworthy News

Are States Gaming New Medicaid Requirement?

Some doctors think so.

In a letter to the Centers for Medicare & Medicaid Services, the American Academy of Pediatrics, American College of Physicians, American Medical Association, and American Osteopathic Association suggest that two states have drastically cut their Medicaid rates, and others are contemplating doing so as well, in anticipation of implementation of a new Medicaid policy that requires states to track the impact of future rate reductions on access to care.

That requirement is part of a new rule addressing access to care that CMS issued last year.

By lowering rates now, the groups charge, states will establish a low baseline for future comparisons when analyzing the impact of rate reductions.

iStock_000008064653XSmallOne of the states that lowered payments is North Carolina. When it cut physician payments 23 percent last year, a survey of pediatricians found that 25 percent of them began limiting the number of new Medicaid patients they serve.

To learn more about why the groups are so alarmed, go here to read their letter to CMS.

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