Noting that she is mindful of the state of California's $14.2 billion budget shortfall, U.S. District Judge Christina Snyder in Los Angeles ruled that since the state accepted federal funds for its Medi-Cal program it must abide by conditions imposed by Congress and granted an injunction stopping a 10% reimbursement cut from taking effect.
Snyder's ruling said that the state failed to consider anything beyond the state's fiscal crisis in enacting the cuts, and failed to consider the cuts' impact on efficiency, quality, and beneficiaries' access to care.
Previously, a state court ruled against an injunction sought by the California Hospital Association, California Medical Association and others, and allowed the cutsscheduled to take effect July 1to go forward. Snyder ruled on an injunction that was sought by the Independent Living Center of Southern California, the California Pharmacists Association, and others.
"Clearly, there is a public interest in ensuring that the state has enough money to meet its financial obligations in the face of competing demands," Snyder stated in her ruling. "However, there is also a public interest in ensuring access to healthcare." -- by Andis Robeznieks