Memorandum

To:                   Beneficiary Groups                               Provider Groups

                        Elderly, Low Income,                           Physicians, Hospitals,                           

                        Children, Disabled,                               Nursing Homes, Pharmacists,

                        Healthcare Ombudsman                        Home Health Care                               

                        And all interested parties directly affected by the Medicaid program

 

From:               Senator Susan Bartlett

Date:                February 16 , 2005

Subject:            Medicaid Deficit and the Healthcare system in Vermont

 

We all know the $77 million deficit in the Medicaid program for FY06 is a problem that we must solve in the FY06 budget cycle. We know that employers, individuals and providers all over the state are also facing the budget pressures faced in the Medicaid program.  I believe we must solve this deficit with changes that reduce the current and projected cost of the program and that are compatible with long term reform initiatives that aim to improve the stability, quality, and equity of the entire healthcare system in Vermont      

 

I am asking for your participation in helping to solve this problem. If each beneficiary and provider group would develop a list of recommendations that will result in identifiable program savings we can solve this budget issue.   Please make sure these recommendations detail how they would be implemented, who they are expected to impact, how cost savings would be calculated, and potential impacts that may result in other areas of the healthcare, social service or broader economic systems. I know that this is not an easy request, but we need to solve this together and you know your groups better than anyone on the outside.

                       

These recommendations should be submitted by March 21, 2005 to the joint Medicaid working group (this is the group with house and senate members that is meeting regularly on Wednesday afternoons). You will have the opportunity to share these ideas with the group.  You should all feel free to share any ideas you have with any of us when you have them!   There are lots of creative and concerned folks around the table and we can reach good outcomes for Vermonters.

 

We know this will be a difficult process and we know that the solutions we craft will result in changes in the program.  We really don’t have any other choice.   I know that many groups are already working on ideas that will save money for the system over a number of years.  We want to hear those ideas, but remember that we have to balance the budget this year.  If we use the rainy day funds, we just put off the necessary changes we will have to face the following year. 

 

I am in Montpelier all of the week and you can get in touch with me there.  You should all also feel free to call me or Rep. Mark Larson at home over the weekend or on Monday’s.   My home number is 888-5591 and Mark is at 862-7596 or by email mlarson@leg.state.vt.us.

 

Thank you in advance for your good work, good suggestions and thanks for caring about the folks that you represent.  We all want the same result, a health care system that provides high quality care to all Vermonters.  Now is our chance to show not only Vermont, but also the country that we can create that system.