Monday, July 25, 2011

Gov. Malloy letter outlines impact of federal debt ceiling crisis on CT and a better option for Medicaid savings

In a letter to Congressional leaders sent Friday, Governor Malloy estimates the harm to CT from proposed Medicaid state funding and GME cuts. As an alternative, he offers a proposal by MD Governor O’Malley for gainsharing between Medicare and Medicaid that would save as much as the current proposals but would improve options and ease the burden on the health care system. The current funding arrangement for dual eligibles provides no incentives for states, responsible for most nursing home care, and Medicare, responsible for hospital stays, to coordinate efforts to keep people in their homes when preferable. Risk sharing between Medicare and Medicaid would support development of home and community based options and better discharge planning. The Governor estimates that resulting savings would equal what has been estimated from cutting Medicaid funding to states.
Ellen Andrews