Supreme Court to decide if California can reduce its Medicaid payments

WASHINGTON (AP) -- The Supreme Court will decide whether to allow California to reduce its Medicaid payments to help close its massive budget gap.

The high court recently decided to hear an appeal from state officials.

Lower courts stopped California from enacting a 10 percent cut in the MediCal fee-for-service program payments to physicians, dentists, adult day care centers and other providers of Medicaid services in that state.

State officials say they need to make the cuts to help the state's budget crisis. But lower courts have agreed with opponents who say the state can't make those cuts and stay in compliance with the federal Medicaid law.

The high court is expected to hear this case later on this year.

The case is Maxwell-Jolly v. Independent Living Center, 09-958.

Published: Tue, Feb 1, 2011


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