Critics of the change say privatized Medicaid may lead to payment cuts to physicians, who in turn may turn away Medicaid patients and reduce their access to healthcare. However, Rep. John Zerwas (R-Simonton), MD, told fellow lawmakers that private managed care plans could succeed in South Texas.
The proposed bill would also establish the Texas Institute of Health Care Quality and Efficiency that would link payments to outcomes and determine the feasibility of developing a centralized cost database to compare costs across providers, according to a previous report. Other changes in the bill include cutting the State Kids Insurance Program and requiring Medicaid patients to make co-payments, among other changes.
The Legislative Budget Board reported the proposed bill could save the state $467 million, two-thirds of which would come from Medicaid savings, according to the news report.
The bill, with the House’s amendments, now goes back to the Senate for a vote, according to the news report. Texas lawmakers also recently approved an 8 percent Medicaid payment cut to hospitals.
Read the news report about privatized Medicaid in South Texas.
Related Articles on Texas Medicaid:
Texas Legislature Passes 8% Medicaid Cut for Hospitals
Texas Bill Would Give States Autonomy in Running Medicaid
FTC Says Texas Bill to Exempt Healthcare Collaboratives From Antitrust Laws Would be Harmful to Consumers
