Assembly Approves Restoring Some Medi-Cal Cuts

By: AP Email
By: AP Email

SACRAMENTO, Calif. (AP) - Democrats and Republicans in the Legislature have rallied together on a bill that would prevent the state from cutting Medi-Cal payments to skilled nursing facilities by 10 percent.

The Assembly passed AB900 by Democratic Assemblyman Luis Alejo of Watsonville on a 75-0 vote Wednesday. The bill now moves to the Senate.

Alejo said one-third of hospital-based nursing facilities that treat the state's poorest residents have closed during the past five years because of the recession. He warned that more will have to close if the state does not restore a 10 percent reimbursement rate cut to the state's Medicaid program.

A federal appeals court recently affirmed the state's right to reduce rates to doctors, hospitals and health providers. The state plans to cut Medi-Cal payments retroactively to 2011.

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