Iowa Makes Good on Pledge to Use Enhanced FMAP Exempt Providers from Across Board Cuts

Iowa Governor Chet Culver implemented an across-the-board cut of 6.5% in his FY09 budget. For FY10 beginning July 1, 2009 there was an additional across-the-board cut of 4.8% on top of the previous 6.5%. The good news for Iowa providers is that the Governor made a commitment to them that they would be exempted from the across-the-board cuts if Congress came through with the enhanced FMAP funding via the American Recovery and Reinvestment Act (ARRA) of 2009. The Governor kept his commitment and providers were exempt. Thanks to Rod Braun of Christian Opportunity for this update.