State Budget Conference Committee Medicaid Decisions: Cuts, IOUs, and Gray Areas

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Anne Dunkelberg /(512) 320-0222 x 102

May 24, 2011

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The conference committee on the state budget for 2012-13 adopted recommendations for nearly all health and human services issues on May 16. Medicaid provisions adopted include a mix of specific direct cuts and spending reductions totaling $1.65 billion general revenue (GR: state dollars) including $805 million GR in cuts to fees paid to Medicaid service providers; and a $4.8 billion GR under-funding or IOU that will come due early in 2013.

This Policy Page summarizes high-level Medicaid decisions adopted for health and human services, which will take effect if the full budget is ultimately adopted in these last seven days of the regular legislative session.