$200 million in deferred Medicaid payments creates more health care uncertainty in Minnesota

(ABC 6 News) – Rural health care in southeast Minnesota is facing more uncertainty as a federal Medicaid payment freeze adds pressure for hospitals and clinics. In an effort to combat fraud, The U.S. Department of Health and Human Services (HHS) and the Centers for Medicare and Medicaid Services (CMS) recently deferred nearly $200 million in Medicaid payments to Minnesota. With the latest action, nearly $550 million in Medicaid payments have now been deferred this year, putting further strain on rural health care as patient options continue to shrink. And I think that’s what’s going to cause the biggest issues for everybody,” said Schultz. HHS said the current funding deferral is not a permanent cut, rather a temporarily deferral while Minnesota provides additional documentation.