CHARLESTON, W.Va. — The state Department of Health and Human Resources is trying to give thousands of Medicaid providers time to prepare for possible delayed payments because of the state’s revenue problems.
The DHHR sent 24,000 providers letters this week. The agency wants to be proactive, DHHR Deputy Secretary Jeremiah Samples said Tuesday on MetroNews “Talkline.”
“We want to make sure they’re aware of the situation in case they would have a hardship created by receiving a payment a couple of weeks late,” Samples said.
For example, a hospital traditionally receives payments after they submit a Medicaid claim within 20 days. In the current situation that would pushed out to 28 to 35 days, Samples said.
“Some providers are in the cash business and they need funds to make payroll and things like that. They need to plan accordingly as the state agency is to ensure that they have the necessary resources to continue to provide these critical services,” Samples said.
The DHHR maintains the cash flow problem is in no way connected to the expansion of Medicaid under the Affordable Care Act. The state will begin allocating approximately $15 million to the expansion next fiscal year, Samples said.
Medicaid provides medical coverage for more than 600,000 state residents. Samples said he hopes they won’t be severely impacted by the payment extensions.
“This is a difficult situation for everyone,” he said. “Certainly, we would prefer to not be in a circumstance where we have to extend payments but unfortunately we are.”