Independent advocates call for more study on Medicaid payment shift

A letter signed by twenty one independent consumer advocates calls on the state to halt the SIM-driven Medicaid’s rush into a return to shared savings, a risky payment model. Dozens of issues remain to be addressed to protect the 770,000 people who rely on the program before the deadline of October 5^th. The rush is being driven by the needs of CT’s small SIM grant, which pales in comparison to state spending on Medicaid. Advocates are concerned that the return to financial risk, this time placed on provider networks, could jeopardize quality improvements, gains in provider participation and effective cost control. Based on Medicare’s experience with the shared savings, Medicaid costs for the state would increase rather than save. Current state budget shortfalls have already prompted $64 million in provider cuts and dropping 20,000 working parents from the program.