Protecting Texas Medicaid Program from Unlawful Federal Changes

Translate to Spanish or other 102 languages!

The lawsuit argues that the imposed requirements are neither supported by existing laws nor mandated by current regulations. Image for illustration purposes
The lawsuit argues that the imposed requirements are neither supported by existing laws nor mandated by current regulations. Image for illustration purposes

Mega Doctor News

- Advertisement -

AUSTIN – Texas Attorney General Paxton has launched a legal battle against the Centers for Medicare and Medicaid Services (CMS) and the U.S. Department of Health and Human Services (HHS), contesting a federal bulletin that poses a threat to Texas’s Medicaid program and its nearly five million beneficiaries. 

The lawsuit argues that the imposed requirements are neither supported by existing laws nor mandated by current regulations. Furthermore, Attorney General Paxton has filed a motion for a preliminary injunction to halt CMS’s actions.

Attorney General Paxton expressed concerns that CMS’s actions could jeopardize not only local governments’ ability to support Medicaid providers but also the entire state’s capacity to fund its Medicaid program. The potential consequences of CMS’s actions could lead to reduced access to healthcare for vulnerable Texans and hinder local providers’ ability to serve communities across the state.

- Advertisement -

Texas’s Medicaid program relies on funding from both the state and federal government, with local governments also contributing to ensure access to healthcare for citizens, irrespective of income level. Since 2013, and with CMS’s authorization, Texas has permitted local governments to administer Local Provider Participation Funds (LPPFs). In 2021, the Biden administration’s CMS attempted to revoke Texas Medicaid’s use of LPPFs, but a preliminary injunction was issued against this effort.

LPPFs involve local governments collecting mandatory assessments from healthcare providers and transferring these funds to the state to finance Texas’s share of non-federal Medicaid funding. Federal law explicitly allows such arrangements. However, federal law also prohibits hold harmless arrangements, which guarantee healthcare providers will receive their total tax payment back through Medicaid payments. CMS recently issued an unlawful informational bulletin that would wrongly classify private contracts involving entities that contribute to an LPPF as prohibited hold harmless arrangements, even though federal law does not prohibit such private contracts.

CMS’s bulletin revealed its intent to require the Texas Health and Human Services Commission (HHSC) to provide information about these private “hold harmless arrangements” as a prerequisite for receiving federal funding, despite the HHSC’s lack of authority to do so. This could potentially endanger billions of dollars meant for Texas’s Medicaid program. The changes represent a significant departure from CMS’s previous policy and an unprecedented expansion of its authority.

To read the full complaint, click here.  

- Advertisement -

To read the motion for preliminary injunction, click here

- Advertisement -
- Advertisement -

- Advertisement -

More Articles

TSC’s Medical Aesthetics Information Session, July 30th

Texas Southmost College will host an information session for licensed health care professionals interested in expanding their skills through the college’s new Medical Aesthetics Injector Certificate program.

DHR Health Bariatric Surgeon Shares Weight Loss Solutions with Port Isabel Rotary

DHR Health continues its commitment to improving the health and well-being of the communities it serves throughout the Rio Grande Valley by engaging with local organizations to inform residents about the advanced and specialized care that is available to them, close to home.

Empowering Kids to Navigate Social Media Responsibly

Debates about children and screens seem to grow louder each day. They happen at school board meetings, pediatric visits, and dinner tables. In a recent interview, two psychologists at Yale Child Study Center (YCSC) shared some tips for parents and caregivers.

Understanding Food Poisoning Symptoms, Treatments, and Safety Rules

If you’ve ever experienced food poisoning, you probably wondered what caused it – and what you can do to keep it from happening again.
- Advertisement -