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AZ Week Notebook – March 2011

GAUGING THE IMPACT OF ARIZONA'S MEDICAID CUTS

Friday's Arizona Week will present an in-depth look at the effects of the impending cuts to Medicaid, the health-care system for poor Arizonans.

The cuts, announced as the biggest part of Gov. Jan Brewer's 2011-12 budget balancing act, would total $541.5 million and trigger the loss of another $1 billion in federal matching money. Between 250,000 and 280,000 adults in the state, many of them working class people earning less than the federal poverty rate, would lose coverage.

Brewer this week met with U.S. Secretary of Health and Human Services Kathleen Sebelius to ask for modifications to the state's Medicaid program so she can reduce the amount she needs to cut. Sebelius asked for a written plan. This came two weeks after Sebelius told Brewer in a letter that it is up to Brewer, without need for federal permission, to make the cuts to the program. That left Brewer holding the blame bag rather than her and the Legislature having the option of blaming the Obama administration if the cuts had to be made.

On the program to discuss the impact on his organization will be Dennis Dahlen, senior vice president and CFO of Banner Health, the state's largest health-care system with 13 hospitals and 35,000 employees, mostly in the Phoenix area.

Also scheduled to appear is Alison Hughes, director of the Rural Health Office at the University of Arizona College of Public Health. She will help gauge the impact on rural areas, including the state's rural and small-town population and rural hospitals and other health-care facilities.

Providing journalistic analysis and commentary will be Arizona Public Media's Luis CarriĆ³n, the Arizona Republic's Mary K. Reinhart and the Arizona Capitol Times' Jeremy Duda.

The program will air Friday at 8:30 p.m. MST in Tucson on KUAT-TV Channel 6 and at 10:30 p.m. in Phoenix on KAET-TV Channel 8. It also will be available at azweek.com.


IS BREWER FINALLY DOING HER MEDICAID MATH?

Gov. Jan Brewer wants to make changes in the Medicaid program to reduce the number of people that must be dropped from the health-care program for the poor.

She came out of a meeting with U.S. Health and Human Services Secretary Kathleen Sebelius on Monday saying she will submit a plan to Sebelius next week on changes that could make the cut less onerous. Under her current proposal, the governor would cut up to 280,000 Arizonans from health-care coverage.

She said the cut, amounting to $541.5 million in state money and $1 billion in matching federal money, is needed to balance Arizona's budget for 2011-12.

Brewer, according to a report in today's Arizona Republic, said, "We're hoping to avoid such a drastic cut. We'd still have to cut but not by as much."

Less than two weeks ago in an interview for Arizona Week, Brewer said, "We just simply don't have the money."

In that same interview, Brewer expressed surprise at hearing that an Arizona State University economist estimated 46,000 jobs lost as a result of the Medicaid cuts and at word from the head of the state's biggest business organization that the cuts would seriously hurt small businesses.

Those facts and Sebelius' stance that Brewer doesn't need federal permission to make that big Medicaid cut may have brought about a sense of reality for the governor, the reality being that if drastic cuts are made, the responsibility is hers and the Republican-controlled Legislature's. She won't be able to blame the Obama administration.

Kathleen Sebelius Medicaid,

About AZ Week Notebook

News and commentary from Arizona Week producer/host Michael Chihak and interns Melanie Huonker and Lucy Valencia.