Medicaid Global Cap Update

The 2013-2014 enacted NYS budget set a cap on Medicaid spending of $16.4 billion. The state Department of Health (DOH) and Division of Budget (DOB) monitor and report program spending on a monthly basis to ensure spending growth will not exceed the cap.

Here is the May 2013 Medicaid Global Cap Report:

According to the DOH website, if spending is projected to exceed the spending cap and Industry Led activities are not successful, DOH and DOB will develop and implement a plan of actions (known as the ” Medicaid Savings Allocation Plans “).

These plans could include actions such as modifying/suspending reimbursement methods (e.g., fees, premium levels, rates) and modifying program benefits. Once developed, such plans will be posted to the DOH Web site and written copies will be provided to the Legislature at least 30 days prior to implementation.

-Jaime Venditti, 8/7/13