Arizona hospitals, physicians dodge 5 percent Medicaid pay cut: 4 things to know

Arizona hospitals, physicians and other healthcare providers have successfully avoided a 5 percent Medicaid pay cut, according to The Arizona Republic.

The state's Medicaid program canceled the planned payment cut due to lower-than-expected use among enrollees and a prescription-drug rebate, according to the report. Thanks to that combination, the Medicaid program is able to keep existing payment rates.

Here are four things to know about the proposed cuts.

1. The cuts were proposed earlier this year as part of the state budget, and were projected to save the state $37 million.

2. The cuts were scheduled to begin July 1.

3. Hospitals, physicians and other healthcare entities have opposed the cuts, according to the report. Some providers argued that patients could be turned away, while health providers said that they would lose millions of dollars in federal matching funds if the proposed cuts took effect, the report reads.

4. The proposed cuts would not have affected community health centers.


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