Wednesday, April 14, 2010

Kansas Lawsuit Filed Against Huge Medicaid Cuts Denied

The Kansas Supreme Court last week said it lacked jurisdiction to take up a lawsuit filed on behalf of Kansans with disabilities. The action leaves open the door for litigation to be filed in a lower district court as groups representing the disabled reel from a 10 percent cut in Medicaid reimbursements.

The case stems from a 10 percent cut to funding for Medicaid reimbursements—money that Governor Parkinson (D) said he wants to see restored even as lawmakers battle a budget gap now exceeding $400 million. He called restoring the funds "critical."

The 10 percent cut, which was implemented in January, eliminates $22.7 million in state funds for Medicaid programs this year. Of that, about $6.2 million affected services for people with disabilities and mental health programs. The state-level cuts also meant the state lost significant matching federal funds, which pay about 70 percent of Medicaid costs.

The Kansas Department of Social and Rehabilitation Services has seen its waiting list for people with developmental disabilities seeking home and community-based services expand to 2,236 as of February 28. That is up from 1,397 in July 2008 and 1,655 in July 2009.