CMA Stops CMS & California From Causing Irreparable Harm to Medi-Cal Patients
Last year, the State Legislature enacted a 10% Medi-Cal (Medicaid) provider payment cut- negatively impacting physicians, hospitals, Medi-Cal managed care plans and their patients. The Obama Administration unjustifiably approved these cuts. However, in response to a CMA lawsuit, a federal judge recently issued an injunction to stop the rate cuts because it would cause irreparable harm to Medi-Cal patients seeking care.
The State also proposed increased copayments ($5 office visit; $50 ER visit; $100/day/inpatient capped at $200). The Obama Administration just rejected these higher copayments because they would have created barriers to necessary care and medications.
Medi-Cal rates rank 47th in the nation and are 50% less than Medicare. Because the rates are so low only half of California physicians can afford to participate and thus, 56% of Medi-Cal patients report they can’t find a physician. These cuts will harm access to care, increase costs by forcing patients to seek care in ERs and hospitals when they can’t find a doctor and severely hinder the implementation of health care reform as 3 million uninsured enroll in Medi-Cal.

