Don’t Be Fooled by Threats of Medicaid Reimbursement Cuts

In an attempt to derail the momentum building behind the Integrated Care Management, or ICM, model for Medicaid delivery, the Texas Association of Health Plans has launched a campaign of deception. The group of for-profit HMOs claims that if legislators approve the ICM model instead of expanding the Star+Plus HMO-only Medicaid delivery system, cuts to provider reimbursement rates will be sure to follow.

“This is a desperate move full of lies and deception by the health plans,” says TAFP Director of Legislative Affairs, Tom Banning. “Don’t be fooled. Medicaid rates will not be cut under the ICM proposal.”

If the Legislature decides to implement the ICM model, primary care physicians will have an opportunity to demonstrate how a strong network of health care professionals dedicated to primary care and disease management can provide high quality, continual care for less money. But if the Star+Plus HMO-only expansion goes forward, the state’s safety net hospitals stand to lose at least $150 million in federal Medicaid funds over the biennium.