Legislative Budget Stalemate Leaves Medicaid Future Uncertain

A budget stalemate at the Mississippi Capital means uncertainty over what could happen to the division of Medicaid. MPB’s Stephen Koranda reports.

Lawmakers are at odds over using hospital taxes to help fund the program and a few other details. it’s unclear what could happen to the division of Medicaid after the fiscal year ends June 30th. Some lawmakers argue Governor Haley Barbour can run Medicaid by executive order. House budget negotiator Cecil Brown of Jackson says that’s not possible. He points to an opinion by Attorney General Jim Hood.

“He could run some kind of Medicaid program, but from the Attorney General’s opinion, it says he cannot use the current staff, he cannot use the current money that‘s in Medicaid, he can’t use the Division of Medicaid as it exists right now to run the Medicaid program.”

That opinion is non-binding. Medicaid spokesperson Francis Rullan says under law the Governor can run any agency by executive order. But he adds it may be a moot point, because without an agreement by state lawmakers, federal funding for Medicaid would dry up.

“The state government must come up with their part of the matching funds before the federal government will match them. So it really isn’t of any use to the state, even if you have a great match rate like we have, if we don’t have the state dollars to put forward first.”

With little money to run the agency, that would likely mean big cuts in services. Almost 600,000 aged, disabled and low-income Mississippians rely on the Medicaid program for their health care. Lawmakers are set to return to the capital on the 26th.