CMS Warns Failing to Expand Medicaid Could Cost Billions

Federal Money for Charity Care at Risk in Several States
– Stateline

Stateline interviewed Manatt's Deborah Bachrach, a partner in the firm's Healthcare practice, for an article on the federal government's warning to states that failure to expand Medicaid could imperil billions in federal subsidies for hospitals and doctors who care for the poor. In a recent letter to Florida, the U.S. Centers for Medicare and Medicaid Services wrote: "Uncompensated care pool funding should not pay for costs that would be covered in a Medicaid expansion."

With the Florida letter and subsequent phone calls to other states, CMS "is signaling it intends to restrict these funds, particularly in states that choose not to reduce uncompensated care by enrolling low-income adults in Medicaid," said Bachrach.

Read the article here

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