Nebraskan opposes Bush Medicaid proposal

 No comments  
 E-mail Story
 Print Story
  Share

 digg it!
 Facebook
 del.icio.us
Seed Newsvine
Fark It
Reddit

Text Size: 

Tools Sponsor

OMAHA - The state could lose millions of dollars in Medicaid funds should Congress pass the Bush administration's proposal to immediately eliminate a billing loophole, a state Medicaid official said.

Nebraska is one of three states working to phase out an intergovernmental transfer program by fiscal year 2009. The program, which began in 1992, works off payments to nursing facilities at Medicare rates, which have been higher than Medicaid rates. It allows for a differential in the amount of federal Medicaid funds that a state can claim.

The billing method has netted Nebraska $300 million over the program's life, said state Medicaid administrator Bob Seiffert.

"It's going to be a substantial loss of dollars if the transfer program is not allowed to run its course of action," Seiffert said.

Presently, the funds are being directed into the state Health Care Trust Fund. The Legislature then determines where the funds go, Seiffert said. In the past, the program has helped fund nursing home conversions, assisted living and the children's comprehensive health care program.

Nebraska currently is projected to receive as much as $49.5 million in fiscal year 2004, $40 million in 2005 and $33 million in 2006, Seiffert said. A final amount - as much as $10 million - was projected for 2009.