California Governor, Lawmakers At Odds Over Prediction Feds Will Approve Tax On Managed Care Organizations

California Gov. Gavin Newsom didn't include the tax, which helps offset the state's Medicaid costs, in his budget because it requires approval from the Trump administration. Lawmakers were more optimistic, pointing out that the federal government has already approved a similar tax in Michigan. The tax is unusual because many managed care organizations want to keep paying it. The money they send to the state is used to draw down federal cash that's sent back to them for providing coverage to Medicaid recipients. Other Medicaid news comes out of Texas and North Carolina, as well.

from Kaiser Health News http://bit.ly/2X6CF28