government

Florida governor signs Medicaid managed care bill

NEWS IN BRIEF — Posted June 13, 2011

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Florida Gov. Rick Scott on June 2 signed legislation to change Florida's Medicaid program into a system of managed care and to offer health plans -- either HMOs or provider service networks of physicians and hospitals -- capitated rates that are 5% less than projected fee-for-service spending. The health plans can keep up to 7.5% worth of savings as profits if they meet certain quality standards.

The Florida Medical Assn. opposed the statewide expansion to managed care. Florida physician organizations and patient advocates are concerned that the savings goal will lead managed care plans to restrict access to services for the state's 3 million Medicaid enrollees. Florida must obtain a federal waiver from the Dept. of Health and Human Services to implement the law.

Note: This item originally appeared at http://www.ama-assn.org/amednews/2011/06/13/gvbf0613.htm.

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