Strickland to reimburse hospitals, mental health with eFMAP funds

Gov. Strickland announced yesterday that he would use nearly $200 million in newly reauthorized enhanced federal Medicaid matching funds to return money to Ohio hospitals, community mental-health services and a prescription assistance program for low-income HIV/AIDS patients (Source: “Hospitals get state funds,” Columbus Dispatch, Sept. 3, 2010).

Strickland said he plans to hold back an additional $243 million in enhanced FMAP funds and consult with legislators on how best to allocate the funds.

The money Strickland plans to spend now will go toward:
  • $150 million to Ohio Hospitals as reimbursement for a new tax levied to hospitals last year to balance the budget
  • $32.6 million for community mental health service to offset some of the cuts made in last year’s budget
  • $12.8million to the Ryan White program for those with HIV/AIDS. Hundreds were dropped from that program this summer because there wasn't enough money to meet increased demand