Bush Administration Attempts to Change Medicaid Program
Congress and the Maine Legislature Intervene
Over the last year, the Bush Administration has issued Medicaid regulations that would limit federal funding for key Medicaid services.
These changes would hurt access to health care for thousands of children and adults in Maine and across the country.
Targeted Case Management
Changes to Targeted Case Management and Rehabilitative Services would harm Maine people the most. The new regulations would affect many
children, homeless families and adults, people with HIV/AIDS, and other vulnerable groups.
For example, Maine’s Head Start Centers provide case management services to help children access health-related services. The
Centers would no longer receive federal matching funds through Medicaid for this important service. Many of Maine’s homeless shelters
would also lose federal funds. This means that they would be unable to help people get the services they need.
Rehabilitative Services
Proposed changes to the rules for rehabilitative services would limit access to services for thousands of children, seniors and people
with disabilities. Services would be provided only when they can actually improve a person’s ability to function. They would not be available
in most cases for people who need them to simply maintain their current ability to function. Some people could see their conditions get
worse without these services. They then might need institutional care.
Congress and the State Take Action
The good news is that Congress is trying to stop these regulations from taking effect this year. They are considering a proposal
to place a hold, or a “moratorium,” on seven of the Bush Administration’s new Medicaid rules. All four members of Maine’s Congressional
delegation are working hard to stop these regulations. We are hopeful that the regulations will not start this year, thanks to their
efforts and the efforts of others in Congress.
Governor Baldacci and the Maine legislature have also stepped in to protect these important services. In particular, the state budget
that passed at the end of March included $6 million to continue Targeted Case Management services for participants in certain community
programs. These programs, including Head Start agencies, organizations working with children in the child welfare system and others
working with expectant and new mothers, will use the funds to continue to provide Targeted Case Management services.

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