How Louisiana plans to spend $196M during Medicaid redeterminations

MM Curator summary

The article below has been highlighted and summarized by our research team. It is provided here for member convenience as part of our Curator service.


[MM Curator Summary]: About 30% of it will go to Big Hospital and pharmacies to make sure they can keep Medicaid revenues going (er, I mean “enrollee outreach.”) Some will go to a public awareness campaign (about 6%), about 6% ($11M) will go to hire more state staff to process eligibility and existing state staff will get a modest raise ($1.3M). So all told about 88% of the money budgeted to make sure Medicaid redeterminations go well is going to the private sector. Seems legit.



Clipped from:

Louisiana is planning to spend $195.8 million as it redetermines Medicaid eligibility for the roughly 2 million residents receiving benefits from the program, according to the Louisiana Illuminator

The funding will be split over the next two fiscal years, according to the report. In the current budget cycle — which runs through June — Gov. John Bel Edwards’ proposal calls for $106.6 million in federal funding, according to the report. In the next fiscal year, $89.2 million will be budgeted, composed of an equal amount of state and federal funds. 

Of the $106.6 million allocated during the current budget cycle, $66.4 million will go to hospitals, pharmacies and nonprofits to help connect Medicaid enrollees with the state health department, according to the report. Another $11 million will be allocated to hire more staffing for the health department’s call center, Medicaid mail center and Medicaid eligibility unit. Current Medicaid eligibility staff members will receive $1.3 million in extra pay. 

Additionally, $12.8 million will be spent in the current fiscal year on a statewide promotional campaign that includes billboard, newspaper and radio advertisements about the Medicaid enrollment process, according to the report. Another $4.2 million will be used on fliers, letters and stamps targeting enrollees. 

The $89.2 million allocated in the next budget cycle will continue some of those initiatives, according to the report. Funding will also be used for a social media campaign, community canvassing, and technology upgrades to improve Medicaid tracking. 

The Louisiana Legislature’s staff anticipates that 355,000 people will be removed from the state’s Medicaid rolls over the next year, while the state health department estimates the figure will be between 280,000 and 350,000, according to the report.