Medicaid spending has slowed significantly. This budget saves a total of $13.6 billion In the Medicaid Program over 5 years. Most savings are achieved through new policies for payments to disproportionate share hospitals. Funds have been retargeted to hospitals that serve large numbers of Medicaid and lowincome patients. Other improvements made to the Medicaid Program Include changes to last years welfare reform law so that benefits are restored to legal immigrants needing longterm care services. Also. a number of important reforms were made to managed care policies for Medicaid programs serving children. people with disabilities. and other Americans. Of course.
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