Victory! Governor Moves to Stop Harmful Medicaid Cuts

VGreat news! Governor Michelle Lujan Grisham announced yesterday that her administration has asked the federal government to reverse harmful cuts in the Centennial Care 2.0 Medicaid waiver, regarding premiums, co-pays, and phasing out retroactive coverage.

With your support over the last two years, the New Mexico Center on Law and Poverty fought these drastic cuts along with other provisions in the waiver that would have reduced healthcare services for parents and caretakers living in deep poverty and New Mexico children’s ability to grow into healthy adults.

Every step of the way, we stood together to attend public hearings, share stories, make phone calls, and write comments. Our efforts worked! 

In response to our advocacy, the Human Services Department and federal government scaled back the cuts piece by piece in the past year. Governor Lujan Grisham’s decision now strikes down the last of them. Her decision aligns with our stance that these cuts would have caused thousands of low-income New Mexicans to lose healthcare coverage, shifted more costs to healthcare providers, and raised overall costs for our healthcare system and state budget.

Thank you to Governor Lujan Grisham and an especially big thank you to all of you for your advocacy to protect access to healthcare for low-income New Mexicans!

Governor reverses Medicaid cuts in Centennial Care 2.0 waiver

Advocacy efforts conclude in a victory for families


SANTA FE—Governor Michelle Lujan Grisham reversed serious cuts to New Mexico’s Medicaid program yesterday following two years of advocacy efforts by the New Mexico Center on Law and Poverty, community organizations, and healthcare providers. Under the Susana Martinez administration, New Mexico’s Human Services Department had proposed major cuts to healthcare services as part of the Centennial Care 2.0 waiver, many of which were approved by the federal Centers for Medicare and Medicaid Services in December 2018.  

The New Mexico Center on Law and Poverty led the efforts to fight the cuts that would have implemented premiums for some Medicaid patients, cut retroactive coverage, and instituted mandatory co-pays.

“We owe a huge thanks to Governor Lujan Grisham for reversing these harmful measures and to the advocates and families who fought tirelessly over the last two years for the health and wellbeing of all New Mexicans,” said Abuko D. Estrada, supervising attorney at the New Mexico Center on Law and Poverty. “Piece by piece, we’ve successfully fought the cuts in the Centennial Care 2.0 waiver that would have led to thousands of families losing healthcare coverage and shifted an unfair burden of costs to healthcare providers and the healthcare system.”  

The governor’s rejection of the waiver is the latest in a series of positive actions the new administration has taken to improve the health and wellbeing of New Mexicans. Since taking office, Lujan-Grisham has set forth plans to reach uninsured New Mexicans who are eligible for Medicaid but not enrolled and help them apply. The governor has also been publicly supportive of bills, currently working their way through the legislature, that would open up a Medicaid Buy-in option for New Mexicans who do not otherwise have access to affordable healthcare coverage.

Governor-elect can stop harmful Medicaid cuts

ALBUQUERQUE—Governor-elect Michelle Lujan-Grisham should quash serious cuts New Mexico’s Medicaid program faces in the Centennial Care 2.0 waiver approved today by the federal Centers for Medicare and Medicaid Services. The cuts, proposed by the Human Services Department under the Susana Martinez administration, would hurt families and violate federal law according to the New Mexico Center on Law and Poverty.

HSD’s Centennial Care 2.0 waiver proposal asked the federal government for permission to increase New Mexico’s Medicaid premiums and cut retroactive coverage. The cuts are scheduled to roll out in 2019 over a series of months.

“No one should have to choose between putting food on the table and healthcare, but that’s exactly what these cuts would do,” said William Townley, an attorney with the New Mexico Center on Law and Poverty. “We have vastly improved the health of our state by expanding the number of New Mexicans eligible for Medicaid. These cuts would have a devastating impact on our state’s families and our economy. We urge Governor-elect Lujan-Grisham to rescind or amend these harmful cuts in Centennial Care 2.0.”

HSD’s proposal imposes new patient premiums on low-income adults living just above the poverty line. Research has shown that these fees will cause thousands of New Mexicans to lose healthcare coverage. For many low-income families, the proposed increase to ten dollars a month is prohibitive and would force them to choose between healthcare and other necessities like food, housing, and transportation. In Oregon where similar premiums were imposed, 50,000 people lost coverage within nine months of the new policy.

HSD’s proposed cuts would also phase-out retroactive coverage, which pays for a Medicaid eligible person’s hospital and medical bills incurred up to three months before signing up for Medicaid. Hospital bills are especially devastating for families on limited income, often ranging from $10,000 to over $100,000. Phasing out retroactive coverage would put New Mexico’s families in jeopardy of severe medical debt and force healthcare providers to shoulder increased uncompensated care costs.

“Under federal law, CMS is only allowed to waive certain provisions in Medicaid. CMS ignored those prohibitions today, approving cuts that will reduce access to healthcare coverage and increase medical debt for New Mexico’s families,” said Abuko D. Estrada, supervising attorney for Healthcare with the New Mexico Center on Law and Poverty.

It would not be unusual for the governor-elect to rescind approved cuts. After being pressured by healthcare advocates, HSD already removed or scaled back a number of harmful provisions in earlier versions of Centennial Care 2.0, including removing premium requirements for additional groups of Medicaid enrollees, removing penalties for missed appointments, and limiting benefits and services for parent/caretakers and children enrolled in the Children’s Health Insurance Program (CHIP).

Proposed Medicaid cuts would force New Mexicans to go without healthcare

ALBUQUERQUE—New Mexico’s Human Services Department proposed cuts to Medicaid would hurt families and violate federal law, said the New Mexico Center on Law and Poverty in comments submitted yesterday on the department’s Centennial Care 2.0 waiver proposal.

“Everyone needs access to healthcare coverage,” said William Townley, an attorney with the New Mexico Center on Law and Poverty. “But HSD’s proposed cuts to Medicaid would force many New Mexican families to go into debt or simply drop coverage. That’s bad news for all of us. We know that when people go without healthcare, it’s much harder for them to maintain their financial stability, be productive in the workforce, or continue their education.”

HSD’s proposal imposes new patient premiums on low-income adults living just above the poverty line. Research has shown that these fees will cause thousands of New Mexicans to lose healthcare coverage. For many low-income families, the proposed increase to $10 a month is prohibitive and would force them to choose between healthcare and other necessities like food, housing, and transportation.

Hospital bills are especially devastating for families on limited income, often ranging from $10,000 to over $100,000. Yet, HSD’s proposed cuts would also phase-out retroactive coverage, which pays for a Medicaid eligible person’s hospital and medical bills incurred up to three months before signing up for Medicaid. Phasing out retroactive coverage would put New Mexico’s families in jeopardy of severe medical debt and force healthcare providers to shoulder increased uncompensated care costs.

New Mexicans have voiced overwhelming opposition to HSD’s proposed cuts to Medicaid. Throughout the entire Centennial Care 2.0 waiver application process, patients, providers, stakeholders, researchers, advocates and community members were nearly unanimously opposed to these changes.

HSD’s proposed Medicaid cuts also violate federal law. The Centers for Medicare and Medicaid Services (CMS) can only approve waivers of federal Medicaid requirements that are listed under Section 1115 of the Medicaid Act. Provisions that govern cost-sharing, such as premiums, and retroactive coverage are outside of Section 1115, meaning CMS lacks legal authority to waive such requirements. CMS has not yet approved the regulatory changes proposed in HSD’s new regulations.

The Center’s comments can be found here: http://nmpovertylaw.org/wp-content/uploads/2018/10/NMCLP-Comment-on-HSDs-Medicaid-Cuts2018-10-25.pdf

 

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The New Mexico Center on Law and Poverty is dedicated to advancing economic and social justice through education, advocacy, and litigation. We work with low-income New Mexicans to improve living conditions, increase opportunities, and protect the rights of people living in poverty.

 

HSD to Hold Hearing on Medicaid Cuts Wednesday

SANTA FE—New Mexico’s Human Services Department will hold a hearing on the serious cuts the Medicaid program faces in the Centennial Care 2.0 waiver proposal on Wednesday, October 24 in Santa Fe.

The waiver proposal imposes new excessive patient premiums on low-income adults living just above the poverty line. These fees will cause thousands of New Mexicans to lose healthcare coverage. The proposal would also phase out retroactive coverage, which is a protection that pays for a Medicaid eligible person’s hospital and medical bills incurred up to three months before signing up for Medicaid. Phasing out retroactive coverage would put New Mexico’s families in jeopardy of severe medical debt and leave healthcare providers with additional uncompensated care costs.

WHAT:
HSD Hearing on the Centennial Care 2.0 Waiver Proposal

WHEN:
9:00 a.m -12:00 p.m., October 24, 2018

WHERE:     
Rio Grande Conference Room, Toney Anaya Building, 2550 Cerrillos Rd, Santa Fe, NM 87505

WHO:
William Townley, attorney at the New Mexico Center on Law and Poverty and other groups against the waiver
HSD staff
Public Comment

Human Services Department to Hold Hearing on Medicaid Cuts on Monday, October 30

ALBUQUERQUE, NM—New Mexico’s Human Services Department (HSD) will hold a hearing on the serious cuts the Medicaid program faces in the Centennial Care 2.0 waiver proposal on Monday, October 30 at the National Hispanic Cultural Center in Albuquerque. This will be the final public hearing on the issue.

The waiver proposal eliminates important coverage and health benefits and imposes new excessive patient fees in the form of co-pays and premiums on the working disabled, low-income adults living just above the poverty line, and children enrolled in the Children’s Health Insurance Program (CHIP). These fees will prevent people from seeking necessary healthcare and cause thousands of others to lose coverage.

WHAT:
HSD Hearing on the Centennial Care 2.0 Waiver Proposal

WHEN:
5:30-7:30 p.m., October 30, 2017

WHERE:          
National Hispanic Cultural Center’s Bank of America Theatre
1701 4th Street SW
Albuquerque, NM, 87102

Call in Number: 1-888-757-2790
Participant code: 991379#

WHO:

  • HSD staff
  • Abuko Estrada, attorney at the New Mexico Center on Law and Poverty and other groups against the waiver
  • Public Comment

Legislative Health and Human Services Committee to Hold Hearing on Medicaid Cuts Today

ALBUQUERQUE, NM—The New Mexico Legislative Health and Human Services (LHHS) Committee will hold a hearing today, starting at 12:30 p.m., on the serious cuts the Medicaid program faces in the Human Services Department’s (HSD) Centennial Care 2.0 waiver proposal. The hearing will take place at the Science and Technology Center Rotunda at UNM, 801 University Blvd. SE in Albuquerque, NM.

The proposal eliminates certain coverage and health benefits for low-income patients and imposes new patient fees in the form of co-pays and premiums to children enrolled in the Children’s Health Insurance Program (CHIP), the working disabled, and low-income adults living just above the poverty line.

“Medicaid has worked well for New Mexico. The state should focus on ensuring our families can get the care they need to stay healthy, not cut coverage for the people who can least afford it,” said Abuko D. Estrada, an attorney with the New Mexico Center on Law and Poverty. “At a time when our economy is struggling, these cuts will drive families into further financial hardships and throw away federal funding that helps sustain thousands of jobs.”

Currently for every state dollar New Mexico invests in Medicaid, the state receives four dollars back from the federal government. The Centennial Care 2.0 waiver proposal cuts will result in the loss of federal money for Medicaid that supports over 50,000 jobs and helps drive the New Mexico economy.

Centennial Care 2.0’s most harmful cuts to Medicaid include:

  • Charging low-income patients with new fees in the form of co-pays and premiums for children in CHIP, the working disabled, and low-income adults living just above the poverty line, which could result in thousands of people losing coverage altogether (as studies have shown);
  • Eliminating retroactive coverage protection that pays for Medicaid applicants’ past medical bills, from three months prior to applying for Medicaid, putting New Mexico’s families in severe medical debt and leaving healthcare providers with uncompensated care costs;
  • Ending a transitional Medicaid program that will result in coverage loss for families that have been living in deep poverty, creating financial hardships and interrupting health coverage when they enter new jobs or accept raises that place them just above the eligibility threshold for Medicaid; and
  • Reducing important health benefits for very low-income adults with dependent children, eliminating Early and Periodic Screening, Diagnostic, and Treatment (EPSDT) protections for children who are 19 and 20 year olds, and opening the door for the HSD secretary to make drastic cuts to more benefits in the future.

WHAT:
LHHS Committee Hearing on the Centennial Care 2.0 Waiver Proposal

WHO/WHEN:       
12:30 p.m.
Presentations about Concerns about Medicaid Cuts
Abuko D. Estrada, Attorney, New Mexico Center on Law and Poverty
David Machledt, Ph.D., Senior Policy Analyst, National Health Law Program

2:30 p.m.
Presentation on Medicaid Waiver
HSD Secretary Brent Earnest

4:30 p.m.
Public Comment

WHERE:   
Science and Technology Center Rotunda at UNM
801 University Blvd SE
Albuquerque, NM

Today’s hearing will be the only opportunity for providing comments in Albuquerque. Other public meetings will take place in Santa Fe, Las Cruces, and Las Vegas.