Brown's Budget Proposal Eliminates Retroactive Medi-Cal Cuts


On January 9th Governor Jerry Brown announced that the State of California would not be moving forward with retroactive collection of a 10 percent cut to the Medi-Cal program.  The announcement came as part of the governor's 2014-2015 fiscal year budget proposal.

Unfortunately, the budget does not stop the 10 percent cuts moving forward. Although elimination of the retroactive cut is a huge step in the right direction, an additional 10 percent cut will only cement California in the position of having the lowest Medicaid rates in the nation.

Even before the cuts, California's Medi-Cal provider payment rates were the lowest in the nation. Low reimbursement rates have forced many of California’s providers to stop seeing Medi-Cal patients. As a result, 56 percent of Medi-Cal patients report difficulty finding a doctor.