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Government seeks equal treatment in health funds

Multi-sectoral group to be created to make representations in Washington, D.C.

Pedro Pierluisi will sign an executive order on Monday to establish a group to advocate in Washington for equal treatment for Puerto Rico with Medicaid and Medicare funds.

"The consequences of unequal treatment affect all of us, so it is important for all of us to come together to advocate for the best solution for the 3.2 million Puerto Ricans. It is with that in mind that today I am announcing that I will be signing an executive order to appoint a multi-sectoral group that will include representatives from the public and private sector, from for-profit and non-profit organizations that will advocate before Congress and the White House for a treatment similar to that of the states in the financing of Medicare and Medicaid in Puerto Rico," the governor said in the message recorded during the Puerto Rico Chamber of Commerce's Health and Medical Insurance Conference.

The governor said that the group will be led by the Puerto Rico Federal Affairs Administration (Prfaa) team in coordination with the resident commissioner in Washington, Jenniffer González.

The purpose, he explained, is to outline and execute a plan "to put an end to the unequal and discriminatory treatment of U.S. citizens living in Puerto Rico".

Pierluisi also reiterated the request that Puerto Rico residents be treated the same as in the states in the Medicaid program, promoting the elimination of the block grant with a pre-established limit and the establishment of a Federal Medical Assistance Percentage Match (FMAP) based on Puerto Rico's per capita income compared to the rest of the states.

Among the differences in the way states and Puerto Rico are treated in the Medicaid program are the federal government's contribution, the cap on funds allocated, the amount of benefits applied to the island and the percentage based on the poverty level.

"We are once again facing a shortfall in Medicaid funding, known as the Medicaid fiscal cliff. That is why we are urging Congress to risk our ability to continue to provide health care services to the most vulnerable. If Puerto Rico were to fall off the cliff on September 30, 2021, Medicaid funding would revert to $392.5 million of the $2.8 billion a year that Congress provided for this fiscal year. The remaining expenses would have to be covered with local funds, and that is why my administration urges Congress and the Biden-Harris administration to put an end to the undignified treatment of American citizens living in Puerto Rico," he insisted.

In 2019, the Medicaid program in Puerto Rico received $2.6 billion for FY 2020 and $2.7 billion for FY 2021 with an FMAP increase of 76%, plus $200 million subject to compliance requirements by the Puerto Rico Department of Health.

This appropriation was then increased with the Families First Coronavirus Response Act. It added $2.7 million for FY2020 and $2.8 million for FY2021.

Pierluisi was emphatic in promoting a long-term solution.

"The health care industry cannot grow under the shadow of uncertainty. It is time we move away from the uncertain and unstable funding of our Medicaid system and move to a program similar to that of the states permanently," he said, convinced that it could be achieved just as the recent approval of the child credit was achieved without a minimum number of dependents.

He understands that the transition to a Medicaid system similar to that of the states would provide better benefits, such as including Medicare Part D and better services through Platino coverage. In addition, long-term care benefits, non-emergency transportation, adult immunizations and emergency services for foreign nationals, regardless of immigration status, could be included, he said.

For his part, Health Secretary-designate Carlos Mellado supported the creation of the group because it would convey a unified message. "We have to carry a message and it has to be funding parity. It's important to carry the message of eliminating the CAP and being equal to other states. Right now the transplant programs in Puerto Rico cannot be carried out, there is a crisis with cardiovascular surgery, we have a drain of doctors and certainly the money has to reach the provider's hand," said the physician, who also participated in the conference in person.

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