FROM THE FOUNDATION

Redefining the Safety Net

Should California establish a Basic Health Program for certain low-income residents? CHCF's Marian Mulkey captures a recent policy conversation in a Health Affairs blog.

Accountable Care in Action

A new post on the Health Affairs blog details how CalPERS kept costs down in Sacramento through a "virtual" ACO with insurers and providers.

Career Opportunity: Senior Program Officer

This position will play a major role in furthering the goals and objectives of the foundation's Better Chronic Disease Care program.

Medi-Cal

Friday, October 22, 2010

Judge: California Needs Federal OK for Cuts to Medi-Cal Benefits

On Wednesday, U.S. District Judge Frank Damrell ruled that the state could not suspend certain Medi-Cal benefits without approval from federal authorities, the Sacramento Bee reports. Medi-Cal is California's Medicaid program.

Background

Last year, the Legislature attempted to reduce state spending by eliminating coverage for certain Medi-Cal benefits, including:

  • Adult dental care;
  • Chiropractic treatment; and
  • Podiatric services.

The California Association of Rural Health Clinics and a community health center in Kings County sued the Department of Health Care Services and state officials over the cuts, alleging that the Medi-Cal changes conflict with federal law.

Ruling Details

In his ruling, Damrell disagreed with the clinics' assertion, saying the benefits in question are not mandatory services under federal Medicaid law. The judge did not order the state to reimburse the plaintiffs.

However, Damrell issued an injunction to prevent further implementation of California's Medi-Cal cuts until the state secures federal approval for the changes.

State Response

On Thursday, DHCS spokesperson Anthony Cava said the department will comply with the judge's order and resume reimbursements to health centers that provide the specialized Medi-Cal benefits.

Cava added that DHCS is seeking federal approval for the Medi-Cal cuts (Walsh, Sacramento Bee, 10/22).



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