Proposed Federal Regulatory Changes Would Cost Connecticut Millions

Connecticut is still at risk of losing hundreds of millions of dollars in federal funding if Medicaid regulations issued by the Bush administration and temporarily delayed by Congress are allowed to go into effect. The Connecticut Department of Social Services estimates that the state could lose $417.5 million in federal funds over five years should the regulations become law. These regulations would restrict payments for rehabilitative services, targeted case management, school administration and outreach, provider taxes, and graduate medical education. In addition, new SCHIP regulations could cut millions in funds for the HUSKY B program and threaten HUSKY coverage for 3,500 Connecticut children.