TALLAHASSEE - A controversial new law that could cost local governments $325 million in disputed Medicaid payments has Jacksonville City Hall scrambling to determine exactly how big a hit city taxpayers could face.
A bill signed by Gov. Rick Scott last week included a provision requiring local governments to make what the state calls “unpaid” Medicaid payments. Local governments, who lobbied hard against the provision, said the reason they haven’t made the payments is because they are actually errors that resulted from what they call a flawed electronic billing system the state adopted in 2008.
The issue may soon head to the courts. The Florida Association of Counties said Tuesday it is strongly considering suing the state. The group led the lobbying push against the provision during this year’s Legislature.
The city currently makes $9.6 million in annual Medicaid payments. The system is funded by federal, state, and local money.
Mayor Alvin Brown says asking Jacksonville to make back payments could cost the city an additional $9.5 million over the next three years, but his office is still gauging the total number.
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