Matching federal funds for health care pursued

Thursday, Jan. 8, 2004 | 9:43 a.m.

CARSON CITY -- A state task force Wednesday allocated $172,800 to complete a study that could result in $91 million in additional federal funds over five years to meet health care costs for the needy.

The Task Force for the Fund for a Healthy Nevada agreed to send the money to the consulting firm of Engquist, Pelrine and Powell. The firm has started the study on how millions of dollars being spent at the local level in Nevada on health programs could be used to gain matching federal funds.

Assemblywoman Ellen Koivisto, D-Las Vegas, told the task force that the state may be failing "to access tens of millions of dollars in federal funds." At present, she said Nevada gets back 69 cents for every $1 that goes to Washington.

If the plan is successful, this could lead to the expansion of health care programs for the needy in the state, she said.

Koivisto is chairwoman of the Legislative Committee on Health that has pushed for the study and its completion. But she said her committee does not have any money to go forward and presented its plea to the task force, which has funds from the tobacco settlement.

The study would be completed by next October and a plan would be presented to the 2005 Legislature for any needed changes in the law. Then the state would submit a request to the federal Division of Health Care Financing and Policy for matching funds.

The consultants have identified $60 million being spent on indigent health care annually and not being matched by the federal government. This includes money for hospital care for indigent people injured in a traffic accident, subsidies paid hospitals for charges for indigent people in excess of $25,000 and county medical and nonmedical services for indigent

Nevada does not receive matching funds for the requirement that hospitals in Clark and Washoe counties must provide 0.6 percent of their net revenue in free care for indigents before receiving any payments from other indigent funds.

If Nevada received the extra money, it could be used for the medically needy, pregnant women and infants with incomes up to 185 percent of the poverty level. It could also be spent on medical coverage of parents of children on Medicaid or enrolled in the Checkup program and for individuals who receive treatment for mental illness who are eligible for Supplemental Security Income.

Koivisto said the counties, hospitals and state agencies are behind in pursuing the study with a possible gain next year.

The task force also heard a report from Jane Smedes, management analyst in charge of the state's Senior Rx program that provides free prescription drug insurance coverage for the elderly. She said the Legislature, at the request of Gov. Kenny Guinn, expanded the program and it now has 8,676 participants, up from the former limit of 7,500. She expects to have 9,500 seniors enrolled by July and 12,000 by July 2005.

Assemblywoman Kathy McClain, D-Las Vegas, the chairwoman of the task force, said she wanted to see the program expanded to include vision and drug coverage. But she said Senior Rx was a better program than the recently enacted federal legislation to provide discounted drugs to seniors on Medicare.

The task force also heard a report from Clark County school officials that a promotional campaign in November resulted in a 12 percent increase in the number of children taking advantage of the school lunch and breakfast program. They said they were going to continue their efforts to get those children who are eligible to join in the program.