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At 1 p.m. today, the governor released the state budget proposal with a $1 billion budget gap. Within the document are proposed Medicaid adult dental rate cuts.
At 3 p.m. today, the CDA met with the Department of Healthcare Policy and Financing (HCPF) to better understand what this budget proposal meant for Medicaid providers – especially in light of the historic rate increase ($78.5 million) that CDA advocated for and achieved this year, which just went into effect on July 1.
The CDA was informed that a majority of the dental codes in the 2024 rate adjustment are proposed to be decreased by various percentages (approximately $34 million total reduction in funding for specific dental codes):
“Dental Rate Reduction
Last year, the Joint Budget Committee (JBC) approved significant targeted rate increases for 25 dental codes. Given the budget situation, the Department can scale back the rate increases while still keeping the rates above the levels set in FY 2023-24. The Department will continue to provide services without an annual limit for adults."
This breaking news is very concerning and counters CDA efforts to increase provider enrollment and ultimately increase access to care for the public.
Next week the CDA will continue to work with HCPF on the specific codes affected by this proposed decrease. HCPF was not able to share specific code information today.
Ultimately, the state Joint Budget Committee decides whether it will accept the proposed budget. The Joint Budget Committee will begin meeting later this month to work on the state budget and typically finalizes the budget in March/April of the legislative session.
This allows for some additional time for the CDA to address this issue legislatively as well.
Over the next few weeks, the CDA, working alongside our lobbyists, will remain in close contact with HCPF. As new information becomes available the CDA will provide you with all necessary updates.
We typically do not send updates on a Friday evening, but felt it was necessary to communicate today’s information with members ASAP.
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