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Medicare News

For Immediate Release: Contact:
Tuesday, July 01, 1997 CMS Office of Public Affairs
202-690-6145

For questions about Medicare please call 1-800-MEDICARE or visit www.medicare.gov.

ADMINISTRATION APPROVES AMENDMENT TO STRENGTHEN LOS ANGELES COUNTY MEDICAID WAIVER

Health and Human Services Secretary Donna E. Shalala today announced that the administration is approving an amendment to strengthen and extend the Medicaid waiver that Los Angeles County is using to restructure its public health system.

"This amendment gives Los Angeles County the time and resources it needs to do this restructuring right," said Shalala. "It underscores the Clinton administration's commitment to work with state and local communities to tailor our programs to meet their long-term needs."

The amendment is to the county's Medicaid waiver, which was first approved in April 1996. It is designed to transform the county's large, hospital-based public medical care system into an integrated system that coordinates services and relies more on primary and outpatient care.

Under the demonstration, and with technical assistance from HCFA, the county has made progress in achieving this transformation. The amendment extends several financial provisions through June 30, 2000, that otherwise would have expired June 30, 1997. This extension will provide the county with an additional $632.38 million in federal matching funds over three years, while maintaining budget neutrality over the full term of the waiver.

"This will allow Los Angeles County to continue its restructuring and ensure that uninterrupted, high quality health care is available for the people in Los Angeles County who rely on Medicaid and the public health system," said Bruce C. Vladeck, administrator of the Health Care Financing Administration.

Vladeck added that HCFA is committed to providing continuing technical assistance to the state and the county as they continue to implement their restructuring plan.

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