Frankfort, Ky.- Time is running out to prevent devastating reimbursement rate cuts to health care providers unless citizens demand an end to Senator David Williams’ political gamesmanship, Governor Steve Beshear told Kentuckians today. Legislators returned to Frankfort today for a special session to balance the Medicaid budget – an action left incomplete when David Williams ended the 2011 Regular session early, without an agreement.
“The citizens of this state should be outraged – as I am – that Sen. David Williams has once again allowed petty politics to overrule the needs of the people of Kentucky,” said Gov. Beshear. “Senator Williams and the Senate Republicans have one job to do in Frankfort, and that is to balance the budget. They not only failed to complete this critical task, but also proposed to balance the Medicaid budget on the backs of our schoolchildren, our state troopers, our veterans, our senior citizens and our college students. It’s a draconian and totally unnecessary approach.”
In a two-day, nine-city trip around the state, Gov. Beshear is warning Kentuckians of the devastating cuts Medicaid providers are facing if an agreement is not reached before April 1.
Due to a shortfall in the Medicaid budget, Gov. Beshear recommended in November to balance the budget by transferring $166.5 million from the FY2012 Medicaid budget to FY2011, then capturing those savings through expanded managed care programs and other program efficiency measures. The House overwhelmingly approved the Governor’s approach in a bipartisan manner. However, with just three days left in the legislative session, Sen. Williams proposed an unconscionable plan to make cuts across all of state government, including to SEEK, the basic funding formula for Kentucky’s classrooms, to higher education, to social workers and to state troopers. Williams’ plan was rejected by not only Gov. Beshear and House and Senate Democratic members, but also by House Republican members. In all, over eighty percent of the Legislature rejected Williams’ plan.
If no agreement is reached, health care providers, including hospitals, nursing homes, doctors and others, face an approximate 35 percent rate cut in reimbursements, which many have warned could cause layoffs and possibly facility closures. The cuts must go into effect on April 1.
“As we enter this special session, we are fighting the clock,” warned Gov. Beshear. “The legislators have several options; however, the approach I proposed more than three months ago, and the House supports, protects our students, families and businesses from unneeded budget slashing.”
Click here for a chart that gives information on how to contact local Republican senators, what facilities in NKY would be impacted by reimbursement rate cuts, and how much Sen. Williams has proposed to cut schools and universities in the area.
