California Disability Community
Action Network Disability Rights News goes out to over 45,000 people with
disabilities, mental health needs, seniors, their families, workers,
community organizations, including those in Asian/Pacific Islander,
Latino, African American communities, policy makers and others across
California.
REMEMBERING JOAN LEE - WE WILL NEVER
FORGET HER
CALIFORNIA BUDGET CRISIS - DAY 50
MORE DETAILS ON FEDERAL COURT ORDER TEMPORARILY
BLOCKING MEDI-CAL PROVIDER RATE CUT
Judge's Order Is Effective Until Lawsuit Filed
By Medicaid Defense Fund on Behalf of Medi-Cal Recipients Goes Is
Decided - Chief Counsel Lynn Carman Says Another Lawsuit Planned To
Force State To Pay Vendors During Period of No Budget
SACRAMENTO (CDCAN) - In a major victory for Medi-Cal recipients and
providers, US District Court Judge Christina A. Synder issued a
temporary order Tuesday (August 19) to temporarily half the
10% Medi-Cal provider rate reduction that went into effect July 1. The
judge's order impacts the Medi-Cal rate reductions for Medi-Cal "fee
for service" providers including doctors, dentists, pharmacists,
adult day-care centers and other providers who provide services to people
in the Medi-Cal program. The order reverses the 10% cut to those
Medi-Cal providers for dates of services provided on or after July 1,
2008.
The order excludes some hospitals who do not contract with the State
and do not provide emergency care. The case number is
CV 08-3315 CAS (MANx). (see
CDCAN website for copy of the 22 page temporary injunction at www.cdcan.us
The case was filed against Sandra Shewry, director of the California
Department of Health Care Services, which oversees the Medi-Cal program.
That department is under the California Health and Human Services Agency,
overseen by Secretary Kim Belshe. The judge's order, while
temporary, is still a major setback for the Schwarzenegger Administration.
Suit Filed By Medicaid Defense Fund For Medi-Cal Recipients
The federal lawsuit was filed in the US District Court of the
Central District of California (in Los Angeles) by the Medicaid
Defense Fund for a number of persons who receive Medi-Cal services and
supports.
[CDCAN note: the earlier CDCAN Report
incorrectly reported that the lawsuit was filed by Medi-Cal providers and
that the lawsuit by Medi-Cal recipients was still pending. In fact the
reverse is true - the suit by Medi-Cal providers which also seeks to block
the Medi-Cal rate reductions, was filed in State court and is still
pending. Both suits requested a temporary injunction that would
temporarily block and reverse the cuts that went into effect July 1, 2008.
My apologies to my friend Lynn Carman, chief counsel of the Medicaid
Defense Fund!]
Temporary Order Made Because Judge Believes Suit Could Win
The temporary order by the district court judge was made because he
believed there was a possibility the lawsuit could have a chance of
prevailing. The case has not yet gone to trial, but the judge's
order - which the plaintiffs (those who filed the lawsuit) requested,
would halt the provider rate cut for most of the Medi-Cal providers
impacted.
The temporary court order means that the State reduction of close to
$600 million in State general funds would have to be - at least for now
- restored back to the Medi-Cal program to pay providers. It is
not clear yet how the State will comply with the order with no State
budget in place.
Medicaid Defense Fund Will File Another Suit To Order State To
Pay Other Vendors
Lynn Carman, the chief counsel of the Medicaid Defense Fund which filed
the suit, said he was very pleased by the Judge's order and plans on
looking at further legal action to force the Governor and other state
officials to make payments to State vendors that it has stopped
making since the budget stalemate began 50 days ago. Those vendors
include community organizations who provide critical services to people
with disabilities, mental health needs, seniors and low income families
who are facing closure, reduction in services because the State cannot
reimburse them until a State Budget is in place.
Carman said he would file a new suit in Sacramento Superior Court to
obtain a "writ of mandamus" which is legal action that would
order, if the Judge approves, the Governor, Controller and State
Treasurer to "pay all claims for goods and services furnished to or
on behalf of the State" during the periods when there is no State
budget.
The Medicaid Defense Fund had filed a similar "writ of
mandamus" in Los Angeles about two weeks ago, but that request was
denied last week,
Governor Had Proposed Permanent 10% Medi-Cal Provider Rate Cut
The Governor proposed in January a 10% permanent rate reduction for most
Medi-Cal providers as part of his emergency budget legislation, which the
Legislature approved in February, to take effect July 1.
Other proposals by the Governor cutting Medi-Cal services, including
permanent elimination of 11 Medi-Cal "optional benefits" were
also made in January, but rejected by the Legislature in June.
However until a State Budget is passed and signed into law, no cut or
other proposal is completely off the table.
Many Provider Rate Cuts Restored by Budget Committees In June As
Part of Budget Stalled In Legislature
Many of those provider rate reductions were reversed by the Senate and
Assembly budget committees in June, but that action, along with others,
are part of the State budget proposal that has been stalled for the past
50 days.
Over 6.5 million children and adults are enrolled in the Medi-Cal program,
including over 1.6 million children and adults with disabilities, the
blind and low income seniors. The program is matched by state funds
and federal Medicaid funds.
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To respond to this report reply to: Marty Omoto at martyomoto@rcip.com
CDCAN website: www.cdcan.us
To continue the CDCAN website, the CDCAN News Reports. sent
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MANY MANY THANKS to Regional Center of the East Bay, Friends of
Children with Special Needs, UCP of Orange County, UCP of Los
Angeles and Ventura Counties, Alta California Regional Center, FEAT
(Families for Early Autism Treatment), Life Steps, Easter
Seals California, Parents Helping Parents, Work Training, Foothill
Autism Alliance, Arc Contra Costa, Pause4Kids, Manteca CAPS,
Training Toward Self Reliance, UCP, California NAELA, Californians
for Disability Rights, Inc (CDR) including CDR chapters, CHANCE Inc,
, Strategies To Empower People (STEP), Harbor Regional Center,
Tri-Counties Regional Center, Asian American parents groups,
Resources for Independent Living and many other Independent Living
Centers, several regional centers, People First chapters, IHSS
workers, other self advocacy and family support groups,
developmental center families, adoption assistance program families
and children, and others across California
DISABILITY
RIGHTS NEWS REPORT