Government
Texas settlement will increase doctors' Medicaid pay
NEWS IN BRIEF — Posted Sept. 3, 2007
Texas physicians will get a 25% boost in Medicaid pay, thanks to a judge's approval of a recent settlement in a dispute over alleged program deficiencies. The fee increases were expected to take effect Sept. 1.
The July ruling in the U.S. District Court for the Eastern District of Texas resolves a 14-year class-action lawsuit alleging the state did not meet federal requirements for ensuring access to early periodic screening, diagnosis and treatment services among children receiving Medicaid. Several families sued the state in 1993, saying not enough doctors were available due to unreasonably low Medicaid pay.
The Legislature in May approved the estimated $700 million in state funds needed to implement the fee increase and other program changes.
Texas Medical Assn. officials said they will work with the state to implement the settlement provisions in Frew v. Hawkins and preserve patient care. The TMA was not involved in the lawsuit, but assisted both sides in negotiations. The American Medical Association/State Medical Societies Litigation Center contributed to the families' legal expenses.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2007/09/03/gvbf0903.htm.
