State lawmakers and healthcare in Oklahoma and Louisiana advanced legislation to improve Medicaid funding in their respective states.
The Oklahoma Legislature passed a bill that will boost Medicaid spending $200 million. The Oklahoma Hospital Association had pushed for a hospital fee to generate a larger federal Medicaid match, but the bill that passed did not include a fee, OHA President Craig Jones said.
Instead, the state will spend $63 million from natural gas revenue on Medicaid to draw a federal match of about $137 million. The net gain to hospitals will be the same either way, Jones said.
Meanwhile, Louisiana Gov. Kathleen Blanco and the state hospital association reached agreement Thursday on a hospital fee to help finance Medicaid, 1.5% of net patient revenue.
If passed by the state Legislature, the fee would result in a net gain in Medicaid reimbursement to hospitals of about $80 million and would expire in four years, said John Matessino, president and chief executive officer of the Louisiana Hospital Association.