Rep. Courtney Calls on President Bush to Halt Attack on Medicaid

Press Release

At a time of growing health care need, the Bush Administration announced Friday that it would cut funding for outpatient services currently covered by Medicaid.

In a bipartisan manner, Connecticut Governor M. Jodi Rell and Congressman Joe Courtney have called for additional Medicaid funding because of the growing fiscal crisis and revenue shortfalls by the states. President Bush's announcement of a regulatory change that would cut Medicaid runs counter to that effort.

Congressman Courtney has written the following letter to President Bush urging a halt to the regulatory change:

November 9, 2008

Dear President Bush,

I am writing today to express my deep opposition to reports that your Administration is planning sharp reductions in Medicaid coverage for outpatient services provided by hospitals. At this time of our ailing national economy, climbing fiscal deficits for our states, and severe health care challenges for our hospitals, this would amount to exactly the wrong prescription at the wrong time for our nation.

Your proposal would reduce Medicaid payments to hospitals at a time of growing need. If the rule were implemented, hospitals in Connecticut and across the nation would be forced to reduce outpatient services such as vision care, dental, diagnostic and screening activities, as well as lab and ambulance services. Under severe fiscal distress, states are already facing serious difficulties in covering current Medicaid needs. Your action would slice further holes in the health care safety net for our most vulnerable children and families.

Recently, I have seen first hand the struggles of health care providers in my congressional district. In Stafford Springs, Connecticut, Johnson Memorial Hospital recently announced job layoffs before your rule change. Further south, at Lawrence & Memorial Hospital in New London, officials conveyed similarly serious warnings to me during a recent visit. Across eastern Connecticut, hospitals and health care providers are facing substantial burdens that would only be exacerbated by this proposed change.

Moreover, your proposed rule violates the spirit of bipartisan calls from Congress and Governors across the country, including Governor Rell of Connecticut, to increase federal aid to the states for Medicaid as a key component of a new economic stimulus plan.

On November 4, voters across the United States communicated loudly and clearly their demands for a change in our economic and health care policies. I urge you to respect the will of the American people and refrain from these 11th hour rule changes in the waning days of your Administration which threaten to aggravate the economic and health care crises facing our nation. This decision, along with other related regulatory matters, would be more appropriate to be left for the incoming Obama Administration.

Specifically, I urge you to repeal this proposed Medicaid funding reduction. Congress has imposed moratoria on six previous rules from your Administration that would have cut Medicaid payments. Should this appeal fall on deaf ears, I will enlist my colleagues in Congress to join me in going for seven.

Sincerely,

Joe Courtney

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