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TennCare Asks For Relief From Longrunning Lawsuit

TennCare officials have asked a federal judge for relief from a two decade-old lawsuit so money can be redirected as state budget cuts are made.

By: The Associated Press | TriCities.com
Published: January 07, 2009

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NASHVILLE, Tenn. (AP) - TennCare officials have asked a federal judge for relief from a two decade-old lawsuit so money can be redirected as state budget cuts are made.
With TennCare among agencies reducing spending by 15 percent or possibly more, the agency has provided updated information to a Nashville judge about how the relief could help offset cuts such as eliminating supplemental payments to hospitals to save about $173 million.
The 1987 court order prohibits the state from redetermining the eligibility of people who were originally enrolled in TennCare Medicaid when they became eligible for Social Security (SSI) benefits, but later no longer qualified for SSI.
Under the court order, the state is barred from disenrolling those who do not qualify for TennCare.

(Copyright 2009 by The Associated Press. All Rights Reserved.)