The first wave of Medicaid clients will have to select a managed care provider by June 10, or one will be chosen for them
Then Governor-elect Chris Christie looks on as Department of Human Services Commissioner Jennifer Velez speaks in this January 2010 file photo.TRENTON — Not content to wait for the state budget to pass in late June, the Department of Human Services is alerting about 200,000 Medicaid recipients — many with developmental or mental disabilities — that they will be required to enroll in an HMO.
Gov. Chris Christie’s administration anticipates the move will save about $41 million over the budget year that begins July 1.
But at least one advocacy group is worried people with complicated medical histories will be forced to find new doctors or new drugs, disrupting their care.
"We understand about shared sacrifice. But the time frame is too rapid for people to really understand what’s happening and to make a choice," said Beverly Roberts, a director at The Arc of New Jersey. "There are concerns about people with the most complex conditions. They have to pick one HMO for all their needs.’’
The letters, dated today and expected to be mailed next week, tell Medicaid recipients "you do not need to take any action at this time’’ because the federal government must first approve the switch. But approval is expected.
Roberts said she’s telling Arc members that based on meetings she’s attended with state officials, the first wave of Medicaid clients will have to select a managed care provider by June 10, or one will be chosen for them.
This group includes 137,000 people with numerous disabilities, and about 11,000 children in the child welfare system, both of whom are covered by Medicaid under the more costly pay-as-go plan, according to department statistics.
Many services will be gradually phased into managed care plans. They include adult and pediatric medical day care, prescription drug coverage, and home health care, Arc and state officials said.
Arc officials asked whether some clients with complicated medical histories can be exempt from enrolling into an HMO, Roberts said. "The answer is no — it’s not in the cards at this point," she said.
Christie has said the state must make dramatic changes to close a projected $1.3 billion deficit in Medicaid, a $4.4 billion program supported by state and federal funds. About 1.3 million New Jerseyans get their health care from Medicaid.
Senate President Stephen Sweeney (D-Gloucester) said he was aware the Christie administration is moving ahead, but that won’t preclude the Legislature from debating whether the decision should stand.
"Until we know the details and make sure there is a proper level of care, it’s not a budget savings," Sweeney said.
Assembly Budget and Appropriations Committee Chairman Lou Greenwald (D-Camden) agreed.
"We want to ensure there is no disruption in care that would damage client health and ultimately lead to much higher costs for taxpayers," Greenwald said.