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Court stops MediCal cuts

Delaine Fragnoli
Managing Editor
12/29/2011

 

A federal judge has granted a preliminary injunction temporarily barring the state from instituting MediCal cuts to skilled nursing facilities.

U.S. District Judge Christina Snyder ruled Dec. 28, after hearing arguments Dec. 19.

The California Hospital Association (CHA) argued that the cuts would force some facilities to close and reduce services at others.

In Plumas County, the cuts would have affected both Eastern Plumas Health Care and Seneca Healthcare District. EPHC would have been particularly hard hit: the cuts amounted to $1.1 million a year. They were retroactive to July 1, 2011, so the cash-strapped district was looking at having to come up with $500,000 in reimbursements.

Doug Self, chief executive officer at Seneca, said he was "glad" about the court's ruling. "I felt the MediCal reduction plan was a knee-jerk reaction to the state budget without a thought to the consequences."

CHA says it expects the state to appeal the judge’s ruling, but the association will continue to challenge the legality of the cuts.

For the complete story, see the Jan. 4 issue of your local Feather Publishing newspaper.

 


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