The Joint Budget Committee (JBC) will be figure setting (creating the budget) for FY10-11 for the Department of Health Care Policy & Finance (HCPF) on Thursday, March 11th. Due to the budget shortfall, there will inevitably be cuts to the HCPF budget. Some of the proposed HCPF cuts for FY10-11 include:
A 4-week delay in Medicaid payments (meaning Medicaid providers will most likely get paid the first week of June 2011, but won’t be paid again until after July 1, 2011);
$25.7 million cut from Amendment 35 funds, which will leave $17.3 million for prevention, early detection, and treatment programs; tobacco education; and health disparities programs;
Medicaid reimbursement cut of 1%; and
10% Medicaid cuts to Advance Practice Nurses(APN) and Physician Assistants(PA).
It is this last proposed cut that CRHC is urging the JBC to reconsider. Targeting APNs and PAs for reimbursement cuts would greatly impact rural healthcare delivery. APNs, in particular, practice independently in rural Colorado. In addition to the 5.5% Medicaid cuts that have taken place the past 2 years, an additional 10% cut to their reimbursement would cause many APNs and PAs to reduce or stop accepting Medicaid patients altogether. The state estimates that a 10% rate cut to APN/PAs will save the state approximately $600,000. Instead of targeting specific provider types, CRHC, along with some of our partner organizations, are asking for an additional .1% across the board cut for all providers. According to the Colorado Nurses Association, adding a .1% across the board cut to all providers would save the state approximately $900,000. This means more cost savings for the state and a more fair and equitable way to address the budget shortfall. It is unfortunate that healthcare providers are being targeted at all in helping to balance the state budget, but targeting provider types as a reason to reduce reimbursement rates is not fair nor good public policy.
CRHC encourages you to contact members of the JBC and ask them to avoid cutting APNs and PAs by 10% and instead spread the cuts across all providers by adding a .1% Medicaid reduction.
JBC Members:
Representative Jack Pommer: 303-866-2780
jack.pommer.house@state.co.us
Representative Mark Ferrandino: 303-866-2911
mferrandino@yahoo.com
Representative Kent Lambert: 303-866-2937
rep.kent.lambert@comcast.net
Senator Moe Keller: 303-866-2585
moe.keller.senate@state.co.us
Senator Abel Tapia: 303-866-2581
abel.tapia.senate@state.co.us
Senator Al White: 303-866-2586
al.white.senate@state.co.us
