Oregon Health Plan faces another $8 million hole

Author Subject: Oregon Health Plan faces another $8 million hole
Mike C Posted At 11:21:02 04/23/2000
GOVERNOR KITZHABER,
PERHAPS IF YOU HADN'T DEVOTED YOUR ENTIRE POLITICAL CAREER TO LETTING WORK COMP CARRIERS OFF THE HOOK IN HONORING THEIR OBLIGATION TO PROVIDE TREATMENT FOR INJURED WORKERS, YOUR PRECIOUS HEALTH PLAN WOULDN'T BE A COMPLETE ECONOMIC FAILURE AND A HUGE DRAIN ON AVERAGE TAXPAYERS. SINCE BUSINESS AND CORPORATIONS ARE PAYING LESS AND LESS TAXES EACH YEAR IT IS WE WHO PAY FOR YOUR BETRAYAL OF OREGON'S WORKING CLASS, IN YET ONE MORE WAY.


Oregon Health Plan faces another $8 million hole

Danger lurks around the corner of the Oregon Health Plan. Despite a $6.5 million infusion by the legislative emergency board, the health plan could run out of money this biennium. Tobacco tax revenue, estimated to reach $224 million, is falling $8 million short of projections, said Hersh Crawford, Medicaid director. All but 10% of that money is dedicated to the Oregon Health Plan. In April, state officials take this quandary to the emergency board with another re-balance plan. The money shortage is precipitated by a growing number seeking services - 20,100 more people than budgeted. On Nov. 27, there were 357,061 people on the health plan - 80,632 adults and couples; 174,173 other Phase I eligibles; 87,515 aged, blind, and disabled and 14,741 children (CHIP).
Because Oregon has very little flexibility to change the Oregon Health Plan, with federal officials unlikely to approve the elimination of 10 conditions from the priority list, Hersh Crawford and Dr. John Santa, deputy administrator of the Office of Oregon Health Plan Policy and Research, want to draw up alternative solutions before the 2001 legislature meets.


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