Revised Proposals for Changing BadgerCare Would Save $36.5 Million GPR

Tuesday, March 13, 2012 at 2:09 AM by

JFC Meets Wednesday to Review Modifications to Cost-cutting Plan

The Joint Finance Committee (JFC) is scheduled to meet this Wednesday to review revisions that the Department of Health Services (DHS) has recommended in its plans for cutting the cost of BadgerCare. The changes to the plan approved by the JFC in November were made by DHS as a result of the negotiations it is engaged in with federal officials in the state’s effort to get a waiver of provisions in the federal health care reform law requiring states to maintain current eligibility standards, procedures and premiums.

The new summary and analysis released late today by the Legislative Fiscal Bureau indicates that the revised plan would reduce state General Fund spending by about $36.5 million GPR.   Although that is substantially less than the $90.2 million GPR estimated savings from the initial DHS plan, it is more than enough to close the Medicaid shortfall after it was revised downward in January. (The cost-savings projections noted above do not include the potential savings from a separate DHS proposal that would create a new BadgerCare coverage plan, with reduced benefits and much higher co-pays.)

Read more about the proposed BadgerCare changes in today’s WCCF Blog post.

Jon Peacock

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