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Thursday, January 13, 2005

New Hampshire also considering HSAs for Medicaid

[Kevin Landrigan, "Commissioner outlines Medicaid plan," The Nashua Telegraph, 6 January 2005.]

On the heels of Governor Bush's proposal to privatize Medicaid, word has now arrived that Southern states are not the only ones advancing consumer-driven care within their Medicaid programs. A bold plan in New Hampshire seeks to restore balance to the state's Medicaid program while empowering its enrollees:

Health and Human Services Commissioner John Stephen released financial estimates Wednesday for his ambitious plan to reform Medicaid that would restrict admissions of seniors to a nursing home and give low-income families a health savings account for their children’s care.

During the next two years, Stephen’s GraniteCare plan would save only about $13 million in state dollars. That’s 7 percent of the $180 million loss in federal Medicaid reimbursements, which led Stephen to study how best to overhaul the system.

But Stephen noted that by 2010, the savings would be $142 million in state dollars and an equal amount in federal spending that would be saved.

All these changes would not require higher co-payments from those who now receive services or cut anyone off a program they are now on, Stephen stressed.

"We hope to dispel the notion that GraniteCare is built on service cuts or reductions in eligibility," he said.

"This plan is based on changing the way we deliver services to make the Medicaid program sustainable for years to come."


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