High Court to Hear Arguments on Lower Courts' Decision to Block 10% Medicaid Cut in California

The Supreme Court is scheduled to hear arguments on a lower California court's ruling to block a 10 percent Medicaid cut, according to an AHA News Now report.

According to a separate news report by The Hill, California Gov. Jerry Brown has proposed a plan to cut Medicaid payments to providers by 10 percent in order to reduce the state's $26.6 billion budget deficit. The Medicaid cut would translate to $623.4 million in savings over the next year.

California healthcare providers filed a lawsuit seeking to stop the Medicaid cuts, and the presiding judge ruled in favor of those providers. However, the state filed an appeal with the U.S. Supreme Court over the issue of whether healthcare providers could pursue legal action regarding federal Medicaid law, according to the AHA News Now report.

The high court will hear arguments on Oct. 3. The American Hospital Association is expected to file an amicus brief in support of California providers.

Read the AHA News Now report about the California Medicaid lawsuit.

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Exit from Medicaid Considered in Florida

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