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States told to find way to clear Medicaid backlog

JUDY LIN
Associated Press

SACRAMENTO, Calif. (AP) — A half-dozen states with backlogs for Medicaid enrollees were facing a federal deadline Monday to create plans for getting those low-income residents enrolled in health coverage.

The federal Centers for Medicare & Medicaid Services sent letters dated June 27 to Alaska, California, Kansas, Michigan, Missouri and Tennessee asking those states to address gaps in their eligibility and enrollment systems that have delayed access to coverage for poor and disabled people.

The letters were sent months after the first national sign-up drive under President Barack Obama’s health reform law.

The letters stated that those states had 10 days to come up with a response plan, but health advocates say there is no clear deadline for actually clearing the backlog.

The federal government “will remain in close contact with states to monitor their progress to ensure that they are facilitating Medicaid enrollment for those individuals eligible,” agency spokeswoman Marilyn Jackson said in a statement.

California had the largest backlog of 900,000 people in its Medicaid program as of May, out of 1.9 million people who enrolled. The state Department of Health Care Services reported that the backlog has been reduced to 600,000 as of Monday.

“We’ve been proud of much of what California has done to implement health reform, but we’re fundamentally concerned about people who need care and can’t access it — people who are going without care, people who are getting medical bills even though they’re eligible for Medi-Cal — that’s all happening today,” said Elizabeth Landsberg, an advocate with the Western Center on Law and Poverty.

California’s information technology problems stem from communication gaps between the state and county welfare systems. Many counties have reported trouble accessing state information necessary to process applications for Medi-Cal, the state’s version of the Medicaid safety net program.

Norman Williams, a spokesman for the California Department of Health Care Services, said the volume of applications also contributed to the backlog.

The group Health Consumer Alliance sent a letter to California Gov. Jerry Brown earlier this month with a list of recommendations, such as granting presumptive eligibility to all applicants who have waited more than 45 days, the federal timeline for determining eligibility. The group has been hearing from people whose applications are stalled even though they need medical care.

Mark Mullin, 36, an unemployed printing pressman from Whittier, California, applied for health coverage in February and was told his Medi-Cal application was being reviewed. On July 5, he ended up in the emergency room after two days of excruciating pain and had an appendectomy.

He’s now anxious about getting a big hospital bill and hasn’t made a follow-up appointment to see a doctor.

“I’m stressed out; I’m a wreck,” said Mullin, who could only afford to fill one of his four prescriptions from the surgery. “I don’t know how I’m going to deal with it. I don’t have an income, and I can’t look for a job because I’m not well.”

His case remains in limbo. Health advocates say Medi-Cal should cover his hospital stay, prescriptions and follow-up visits, but he could be billed in the meantime.

Alaska submitted its mitigation plan Monday saying it will continue to work on a new eligibility system for workers to make Medicaid determinations. So did Kansas.

Angela Minicuci, a spokeswoman at the Michigan Department of Community Health, said the state is working with the federal government to address technology issues. She said Michigan has enrolled 323,000 residents into the Healthy Michigan Plan, exceeding its 322,000 target for the year.

“We will continue to work to ensure Michiganders have access to health care coverage needed to lead healthy, productive lives,” Minicuci said.

Missouri said its staff had completed 39,000 of the 51,600 applications that have come through the federally run marketplace since February. Joseph Parks, director of the Missouri Department of Social Services, said only 8 percent of those applicants have been found to be eligible.

“The current transfer standards would appear to give too many applicants a false expectation of coverage under Missouri’s Medicaid Program,” Parks wrote in his response Monday.

The states facing the federal deadline are a mix of those that opted to expand Medicaid under the Affordable Care Act and those that did not.

Obama’s health reform law led to the signup of about 8 million people in private health care coverage through the insurance exchanges, while an additional 3 million people enrolled in Medicaid, the state-federal program for the poor and low-income.

The federal government initially picks up the full tab for the Medicaid expansion, which was accepted by about half the states.

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Associated Press writers Becky Bohrer in Juneau, Alaska, Maria Fisher in Kansas City, Missouri, and Roger Schneider in Detroit contributed to this report.

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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