May 15, 2003 - The folloiwing letter was created by the Californians United for Quality Health for Medi-Cal providers to send to members of the Legislative Budget Committees.
Dear Legislator:
As an acupuncturist who participates in the Medi-Cal system, I am writing to inform you that we oppose the Governor’s proposed cuts to Medi-Cal optional benefits, provider reimbursement, and eligibility. Medi-Cal coverage for acupuncture allows a number of Chinese and Korean language Californians the comfort of seeing health care practitioners who speak their language and are familiar with their customs. The majority of these patients are treated for pain, which is a terrible thing to have to live with, but for some of them, pain might be a symptom of a more serious condition, such as cancer, that an acupuncturist can identify and refer them for proper treatment, in some cases preventing an early or unnecessary death.
Thankfully, Governor Davis’ revised state budget restores eligibility to working poor families earning up to 100% of the Federal Poverty Level (FPL) by restoring the 1931 (b) expansion. Unfortunately, he has chosen not to use an accounting shift (accrual to cash) of Medi-Cal reimbursements to protect Medi-Cal. This accounting shift would save $939 million state general funds on a one-time basis and generate $939 million in federal funds. But under the governor’s plan, only $300 million of that money will be used to fund Medi-Cal.
The savings achieved in Medi-Cal should be used to preserve Medi-Cal for the following reasons:
1. Cuts will physically harm people. Californians who utilize Medi-Cal will not be able to survive or will allow conditions to worsen considerably.
2. Medi-Cal cuts will not save money. Cuts to Medi-Cal will only shift the cost to the even more expensive and overwhelmed emergency and trauma system.
3. Medi-Cal = Federal Money. California doubles its investment in Medi-Cal with a 50% and in some cases up to 90% match of federal dollars. California must maximize federal dollars given the magnitude of this budget crisis.
4. Federal aid is likely. The U.S. Senate Finance Committee recently passed a tax cut bill (S 1054), which includes $20 billion in aid to states. The bill is currently being debated on the Senate floor.
I strongly urge you to protect Medi-Cal by using funds generated from the Medi-Cal reimbursement accounting shift.