By Tony McVeigh
Frankfort, KY – Kentucky is facing a 100-million dollar shortfall in its Medicaid budget this fiscal year, and Governor Beshear wants to shift second-year funds to the current year to cover the deficit. The governor would then use managed care savings to cover any second year deficit.
"We have an opportunity here to act in a bipartisan manner to adopt a reasonable approach to solving an immediate problem. The other good news is that the solution to this immediate problem is also a solution to a much longer range problem."
But Senate President David Williams says "that dog won't hunt." Williams says Beshear is just shifting money around without addressing the real problem, ongoing Medicaid deficits and unrealized savings. Ultimately, lawmakers will have to resolve the thorny issue when the 2011 session resumes February 1st.