The Times reports on doctors who are dropping patients on Medicaid because states are slashing reimbursement rates to health care providers. The article focuses on Michigan, one of the states hardest hit by the recession and where the state legislature has already enacted deep cuts to provider payments. As a result of the cuts, more Medicaid enrollees are forced to either go without care or travel long distances to see a physician willing to treat them.
Most states, including Minnesota, are being forced to reduce payments to Medicaid providers. Unfortunately, passage of the health care bill isn’t likely to provide a quick fix to the problem. It will provide some additional funding to pay for individuals who previously weren’t eligible for the program, but states will still be on the hook for a large share of Medicaid costs. And state finances are likely to look pretty shaky for years to come. Unless states can persuade Congress to pick up a higher ongoing percentage of the Medicaid tab, it’s going to be increasingly difficult for them to ensure that people on Medicaid have access to the care they need.
