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Federal Funds Loss Could Jeopardize LSU Hospitals
The reduction is tied to a change in the definition of uninsured contained in a rule covering the federal program. The rule was adopted shortly before Republican President George Bush left office with a delayed effective date of July. Louisiana is appealing the federal rule change to the U.S. Department of Health and Human Services with help from the congressional delegation and other national health-care groups. DHHS Secretary Kathleen Sebelius says the regulation is under review, LSU System Vice President Fred Cerise said. But no assurances of relief have been given. Louisiana Department of Health and Hospitals Secretary Alan Levine said the uninsured care funding drop is just one of a mounting number of financial problems surrounding the $6.5 billion state Medicaid program emanating from federal healthcare decisions. The loss of federal funds for uninsured care is "more of an immediate problem," he said. Louisiana has about $880 million in federal and state uninsured care dollars in its current fiscal year budget that ends June 30. The money is issued through a program known as DSH. The program sends money to facilities that care for a disproportionate number uninsured people. "We are facing this year what could be up to a $250 million reduction in the program," Levine said. "It disrupts our program for the poor." In a "worse-case scenario" the state would have to consider closing one or more of its LSU hospitals, Levine said. Then, the issue would be how people could access primary and specialty care, he said. Bookmark:
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