Florida Reforms Healthcare for the Poor to Save Money

Florida Reforms Healthcare for the Poor to Save Money

By Michael Peltier

(Reuters) – Florida lawmakers passed a sweeping Medicaid reform package that places most recipients into managed care in a closely watched debate over how to curb costs and provide health benefits to the poor.

Following hours of debate and back-room negotiations over the past several weeks, the Republican-dominated Legislature late on Friday sent a package to Governor Rick Scott that backers say will save the state $1.1 billion next year.

Savings would be realized by shifting Medicaid from a traditional fee for service program to one that caps payments to providers and more closely mirrors private sector health insurance plans.

The bill would split the state into 11 regions and allow managed care companies to compete for business within those geographic boundaries

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http://www.reuters.com/article/2011/05/07/us-medicaid-florida-idUSTRE7461IU20110507