The 2.2 million Medicaid beneficiaries in
Florida will now be subject to a cap on
benefits as recently approved by President
Bush.
Florida's plan has been portrayed by Joan C.
Alker, a senior researcher at the Health
Policy Institute of Georgetown University,
as ". . . one of the most far-reaching and
radical proposals we've seen to restructure
Medicaid." Vernon K. Smith, a previous
director of Medicaid, described Florida's
approach as "groundbreaking." He also
added that states such as South Carolina,
Georgia, and Kentucky are anxiously
awaiting feedback on Florida's program as
they have comparable plans in the works.
Governor Jeb Bush cited statistics
illustrating Medicaid costs had increased by
13% but state revenues had not kept pace
increasing by only 6%. Such figures
prompted Governor Bush to conclude a
change to Medicaid was in order as it was "unsustainable" structured as it is now.
Under the new plan, Florida will pay a
monthly premium to a private health care
provider for each participant and a "maximum per year benefit limit" will be
imposed per individual. Alan L. Levine,
Secretary of the Florida Agency for Health
Care Administration, anticipates 95% of
participants will never reach the cap. For
those who do, their provider is obligated to
make services available, but Florida is not
responsible for paying beyond the cap.
Additionally, the Florida plan has the
following provisions as reported in the New
York Times:
