March 12, 2010

Springfield, IL – A measure purporting to offer Medicaid reform was advanced out of the Senate on March 12 that Senate Republican Leader Christine Radogno (R-Lemont) said was a step in the right direction, while cautioning that lawmakers need to do more if they want to fundamentally address the problems with Illinois’ Medicaid program.

Senate Republicans attempted to include reforms that would tighten up eligibility requirements, institute a true managed care system allowing the state to use an HMO, and advocated for a moratorium on new Medicaid programs. However, those suggestions were rejected on a partisan role call.

“I don’t want anyone to fool themselves into thinking that we have reformed Medicaid with Senate Bill 3707. This is not comprehensive managed care reform,” Radogno said.

Radogno explained that Senate Bill 3707 seeks to increase the number of Medicaid enrollees who are placed in a managed care program, while also limiting lapse period spending. The senator said a loophole in state law has allowed governors to portray deficit spending as balanced. This practice has contributed to the state’s enormous Medicaid liability.

Though lawmakers advanced the legislation, Radogno noted that the measure will do nothing to curb the state’s Medicaid liability growth. She emphasized that Medicaid liability in Illinois has increased by $4.2 billion, or 65 percent, over the last 8 years.

For years Radogno and her Senate Republican colleagues have advocated for reforms to the Medicaid system that would reign in the substantial costs associated with the program, while also improving care for patients by incorporating managed care provisions into the state’s massive state-subsidized health care program.

“There a number of amendments that have been introduced by Republican lawmakers that offer really good, substantive changes to the Medicaid program,” Radogno said. “We are more than willing to participate in future reform discussions. I hope we see more ideas, and are allowed to be part of the process.”

However, Democrat lawmakers have consistently refused to advance Medicaid reforms, despite evidence that the KidCare and All Kids programs are being severely abused by people who are manipulating the system.

“Unfortunately studies show that people ‘game’ the system. Often one pay stub does not accurately reflect an applicant’s annual salary, and I think many taxpayers would agree that individuals with costly assets should not be receiving health care subsidies,” Radogno said. “Simply taking commonsense steps to ensure that only those who are eligible are receiving benefits could save the state millions of dollars.”

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