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Medicaid Fund Diversions

· From pages 5 of the print edition

According to senior executives from Loudoun County's primary health care provider, Inova Healthcare, a little-noted difference between the U.S. Senate and House versions of the current budget threatens to divert much-needed federal matching funds for Medicaid to variety of non-healthcare-related areas of the federal budget, threatening both quality of care and local jobs.

The Virginia Hospital & Health Care coalition agrees, noting that the House version of the bill shifts nearly $300 of $360 million dollars in potential federal healthcare matching funds for Virginia away from Medicaid.

Instead, the House would spend $82.2 million of the $360 million potential increase on a three percent bonus for state employees; shift $37 million to pay debt service for technology grants and other K-12 school needs; send $75 million to public colleges and universities; and send $100 million to the Tobacco Indemnification and Community Revitalization Fund."

According to hospital officials, the Senate version of the budget "would apply all of the additional Medicaid match money to the Medicaid program", improve healthcare, and save jobs.

In late February, newly elected Republican Governor Robert McDonnell made a specific request to congress that any extension of Medicaid matching funds for Virginia be actually spent on Medicaid.