State to Lose More if Federal Demands on Medicaid-funded Program Are Made
October 8, 2008
Sacramento, CA – The state government is set to lose billions of dollars in its Medicaid-funded Family planning program called Family PACT if it heeds the call of federal government to change its calculation method so that the funds can be spent only on legal residents and not undocumented immigrants.
The recent editorial of the Los Angeles Times called the federal demand ‘wasteful’ because it is "ridiculously inefficient arrangement that would increase the state's costs by an estimated 40%". California uses a statistical formula to calculate the number of illegal immigrants who receive the program benefits.
Under federal rules, however, the funds of the Family PACT program must be spent only on legal residents of the state.
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