State Medicaid Program Facing More Than $400 Million in Cuts

To help close its budget deficit, the board of the Department of Community Health voted to  increase premium payments for state employees by 9.5 percent.

For the agency, the measure will likely be the first of many.

In addition to the state employee plan, DCH oversees Peachcare for Kids, which provides coverage for low-income children, and Medicaid, the health program for low-income adults. Medicaid alone is running a $350 million deficit heading into 2013. Add that to a state-ordered three percent cut and Medicaid will need to cut more than $415 million in revenue for next year.