Mayhew: DHHS averts major shortfall
The Maine Department of Health and Human Services managed to avoid a projected $12.5 million shortfall for the budget year that ended June 30, Commissioner Mary Mayhew recently informed the Legislature.
In late May, DHHS officials told lawmakers the preliminary year-end analysis showed the possibility of a $12.5 million shortfall in the Medicaid program, based on claims payment projections and money owed to the department from other areas of state government. In a Friday memo to lawmakers, Mayhew said the department actually saw lower-than-expected payments, received more than $3.4 million from other state agencies and more than $3 million in drug rebates.
The department said the shortfall was "all but eliminated," but didn't say what its final year-end expenditures were.
"In the end, just one provider of nursing facility services was unable to be paid a small amount, but that provider was issued payment on the first business day of State Fiscal Year [2013]," Mayhew said.
Overall, state revenues for the fiscal year did not reach as high a surplus as was previously expected, but a final amount won't be available until next month.
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