Barbour: "Medicaid Payments Will Be Delayed"

By: The Associated Press
By: The Associated Press

Gov. Haley Barbour says the Division of Medicaid is telling health care providers that payments will be delayed until after the first of July as state leaders struggle to agree on a state budget.

Barbour said the Medicaid shortfall had been anticipated to be about $20 million for the year, but it now appears the government health insurance program for the needy is $34 million short.

Barbour said during a news conference Friday that letters are being sent to providers by the Division of Medicaid to inform them about the delay.

House and Senate negotiators are trying to reach a budget compromise for the fiscal year that begins July 1.

Barbour will call legislators back for a special session to vote on a budget once a deal is reached.

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