AZ-Governor Charts Sustainable Course for Medicaid With Reforms

On March 15, Governor Jan Brewer unveiled a plan to cut payments to health care providers by 5 percent, beginning on October 1. This cut is in addition to another 5 percent cut slated to take effect on April 1.

The most recent among Arizona’s plans to reduce Medicaid spending is a proposal to charge a $50 annual fee to Medicaid enrollees who smoke, are obese, or suffer from diabetes or other chronic disease and fail to work with their primary care providers on a care plan. Another proposal would increase copayments and impose no-show penalties for missed appointments. The proposals are included in an amended request for Section 1115 demonstration waivers sent to the U.S. Department of Health and Human Services and would cover the October 1, 2011 to September 30, 2016 period.