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Senate budget is a mixed bag for physicians

MINNEAPOLIS, March 27, 2008 - The health and human services budget bill  introduced Wednesday by Senate DFL leaders was a mixed bag for physicians, since it protected the Health Care Access Fund but proposed a cut in provider reimbursement.

Proposed provider cuts
$4.5 million in fiscal year 2009
$5.8 million in fiscal year 2010
$6.2 million in fiscal year 2011 
 

If passed, the budget bill would cut provider payments by 3 percent for fee-for-service patients enrolled in Medical Assistance, General Assistance Medical Care, and MinnesotaCare. This cut would apply to all inpatient and outpatient providers except dentists and mental health providers.

The 3 percent cut to outpatient providers would save the state about $16.5 million between fiscal year 2009 and fiscal year 2011.

On the upside, the budget bill would not use the Health Care Access Fund to fill an anticipated deficit of $935 million in the general fund. It would set aside money to fund measures passed in 2007 that would allow more Minnesotans to be eligible for state health care programs.

The Senate DFL budget also includes hospital payment cuts recommended by Gov. Tim Pawlenty in his budget proposal.

Author: Scott Smith
 
 
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