Extra federal payments, which have reduced states’ average share of Medicare payments from 40 percent to 28 percent since 2009, will be bumped down slightly April 1 and expire completely on July 1. At that time, the average state responsibility on a Medicare claim will rise 43 percent.
Since the higher federal rate depends on when the claim is paid, not when the service is provided or the bill is received, states are rushing to pay hospitals and other providers as quickly as possible.
Here is what some states are doing to speed to payments:
• California has temporarily suspended a one-week auditor’s hold on reimbursement checks and two check-writing dates will be moved forward from July to June.
• Illinois will pay $650 million in bills, triple the normal rate, before the April 1 deadline.
• New York expects an extra $66 million in federal payments by speeding up payments in the next quarter of its fiscal year.
• North Carolina has been encouraging providers to submit claims as quickly as possible.
However, a CMS spokeswoman said states cannot make advance payments before a service is provided or pay a bill before it’s supposed to be paid.
Read the USA Today report on Medicaid payments.
Read more coverage on enhanced federal payments for state Medicaid programs:
– House Sends $16B in Federal Medicaid Assistance to President for Signature
– Big Medicaid Cuts Possible Next Year, With Federal Support Due to End
– Delayed Congressional Action on Medicaid Funding Helps 16 States, Hurts 24 Others