MINNEAPOLIS, May 5, 2008 - The Minnesota House and Senate budget conference committee approved a compromise that would not raid the Health Care Access Fund nor cut physician payments by 3 percent.

 

“After a quick review of the compromise, it looks like lawmakers heard physicians concerns about both the cut and the HCAF transfer,” said Dave Renner, MMA director of state and federal legislation.

 

The committee released and approved the health and human services piece of the budget compromise Monday, which is part of the larger omnibus budget bill.  

 

Throughout this legislative session, the MMA has been trying to prevent a raid on the Health Care Access Fund to help plug a $935 million budget shortfall caused by a slowing economy.

 

The MMA has also been fighting a proposal to cut outpatient payments to providers treating patients who use fee-for-service public programs by 3 percent.

 

Hospitals on the other hand did not do so well under the compromise. The committee approved an approximately 3 percent cut to payment rates.

 

Nursing homes did receive a 2 percent increase to cover the cost of inflation.

 

Though the Senate and House have come to an agreement about health care funding, it was unclear Monday whether Gov. Tim Pawlenty would support the approach, Renner said.

 

The bill approved by the conference committee would have to be passed by both the House and the Senate and signed by the governor before it would become law.