SCOTUS to hear case re: Cali’s planned Medicaid reimbursement cuts

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Under Ahnold, Cali attempted to cut funding for Medicaid reimbursements to the following: physicians, dentists, pharmacies, health clinics and other medical providers. Thankfully, the Ninth Circuit Court of Appeals said hell no to that.

Governor Brown wants to do the same and to that end, SCOTUS will get the case now. This doesn’t really bode well for the Medicaid providers and ultimately the citizens of the state that must avail themselves of this form of healthcare as at least four of the Supreme’s find fault with the Ninth’s logic in how they ruled.  From McClatchy:

The court’s decision to hear three combined California legal challenges is good news for Democratic Gov. Jerry Brown, who wants to enact budget cuts similar to those that courts have previously struck down. Potentially, hundreds of millions of dollars in proposed savings are at stake.

“The fact that the court agreed to hear these cases is a big and important step for California,” Elizabeth Ashford, a spokeswoman for Brown, said Tuesday night.

The court’s decision also could please 22 states that have sided with California, including Florida, Idaho and South Carolina. California and the other states want to restrict the kinds of private lawsuits that can be filed over public benefits.

The Ninth Circuit of Court of Appeals previously rejected California’s proposed reimbursement cuts, initially put forward under Brown’s Republican predecessor, Arnold Schwarzenegger.

The Supreme Court’s decision issued without comment Tuesday means at least four of the nine justices question the Ninth Circuit’s reasoning. The impending review by a conservative-dominated high court worries the medical professionals and patient advocates opposed to the reimbursement reductions.

Thanks Jerry, you are looking more like a republican governor every, friggin day. The national ramifications of this case are huge. In this economy, and as slowly as it’s recovering, people do not need less healthcare, it’s a no-brainer. Doctor’s are small businesses in many cases and so are other providers. Their profit margins shrink every year as federal and state governments keep chopping their reimbursement rates.

But insurance companies profit margins seem to be protected…don’t they? Funny how that works.

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Carol Bell

Carol is a graduate of the University of Alabama. Her passion is journalism and it shows. Carol is our unpaid, but very efficient, administrative secretary.
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Admin
13 years ago

This will have a “broadcast” effect and influence the entire country. This is something else to worry about during these troubled times. Good post.

Reply to  Professor Mike
13 years ago

Since a boatload of states are awaiting the results of the SCOTUS review, yes it will have national consequences as a negative ruling (which is expected) will have a ripple effect, most noticeably in the red, southern states I would bet.

13 years ago

Rome is burning, Rome is burning . . . the more people that become uninsured, makes the whole thing more expensive, ERs become a doctors office.

Reply to  Holte Ender
13 years ago

The more ER’s become DR’s offices, the more jammed, overcrowded they become and less effective as well. It’s a no-friggin brainer.

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