Gov. Pat Quinn signed a measure into law Friday to capture additional federal money to pay down the state’s massive backlog of health care bills.
The legislation is one piece of a larger package that the state hopes will bring in an additional $1.1 billion the next two years. The windfall comes from a temporary increase in how much the federal government will give to states for Medicaid as part of the Obama administration’s stimulus package. Until the end of next year, Illinois will receive 62 cents back for every dollar it spends providing health care for the poor, up from 50 cents on the dollar.
“Whenever there is the opportunity for new federal funding from Washington, we have to seize it by the throat because other states are all too happy to take those dollars for themselves,” said sponsoring Sen. Jeff Schoenberg, D-Evanston.
The plan, which lawmakers approved during last month’s fall session, calls for the state to pay hospitals and doctors more quickly. The state has lagged behind in such payments for years, setting up a situation where health care providers essentially are loaning the state money due to the long delays.
