California Pharmacists Association files suit to block reimbursement cuts

May 7, 2008

California Pharmacists Association joins other healthcare provider organizations in suit to halt Medi-Cal budget cuts.

The California Pharmacists Association has joined with state medical, dental, hospital, and other provider organizations in filing a lawsuit to block the state of California from implementing a 10% across-the-board cut in reimbursements for the Medi-Cal and Denti-Cal programs. The cuts were passed by the state legislature and signed into law by Governor Arnold Schwarzenegger and are set to take effect July 1. The suit is seeking a preliminary injunction to prevent the state from implementing the cuts, claiming that the cuts violate federal laws that require that Medicaid payments "must be sufficient to enlist enough providers so that services under the state's Medicaid plan are available to recipients.” In April, a similar suit was also filed by a group including two pharmacists, a long-term care facility, and a consumer organization. CPhA also is sponsoring a public education Web site, in its effort to block the cuts.

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