Watch for Medicaid provider cuts due to COVID-19

Watch for Medicaid provider cuts due to COVID-19

As we work through the hysteria surrounding COVID-19 we are going to see some interesting changes in state Medicaid spending. Since Medicaid is a state-by-state program, how individual states deal with the shutdowns and reopening will have a significant impact on providers in a given state. 

Most states are mandated to balance their budgets by July 1. As states look at hugely reduced tax revenue due to the loss of commerce there will be some tough choices to make going forward. 

Although the federal government helps the states with part of the compensation for Medicaid and the stimulus packages are designed to help, there will be huge budget shortfalls going forward.

The big issue will be in areas where red and blue state collide. Some states will have smaller cuts while others will have major cuts in both health care services and payments to providers, further damaging our fragile health care system. 

Be aware of these changes and how they will affect your practice going forward. If you need help in projecting your revenue when your state cuts revenue, please reach out to us. We will do our best to help.

Mick Raich


Stark Medical Auditing

Office: 517-486-4262

Cell: 517-403-0763

Leave a Reply

Your email address will not be published. Required fields are marked *