Health Care Coalition Sues State

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(Sacramento, CA)
Monday, May 5, 2008
The lawsuit’s being brought by the California Medical Association, the California Hospital Association and organizations representing pharmacists and dentists. They’re fighting a ten percent reduction in the rate the state pays to providers who treat Medi-Cal patients. Attorney Craig Cannizo is handling the suit. “An extremely small number of providers are providing all of the Medi-cal care and the pressure on them is so severe that this kind of cut will have such an immediate impact that they won’t have any choice.” Cannizo says they’ll be forced to stop taking Medi-Cal patients because they can’t afford it. He says the state is legally required to ensure rates are high enough so that doctors will accept low-income patients. The suit asks for an injunction against the cuts, which were approved by lawmakers and the Governor to help balance the budget earlier this year. They’re set to take effect in July. A spokeswoman for the Governor’s office says they’re still reviewing the suit.