Saturday, June 15, 2013

Maine governor signs hospital debt payment plan

AUGUSTA, Maine (AP) -- Republican Gov. Paul LePage has signed a bill that will pay off Maine's hospitals' debt of hundreds of millions of dollars for Medicaid services.

The Democratic-led Legislature unanimously approved the bill late Thursday night.

The hospitals will receive $490 million in state and federal money. The state's share of $183.5 million will be covered using bonds, paid off with anticipated revenues from a restructured, 10-year liquor contract, which will trigger a federal match to complete the payment.

The bill has been one of LePage's top priorities since taking office in 2011. He vetoed a previous measure because it included a proposal to expand Medicaid coverage.

Hospital officials say not being paid by the state has forced hospitals to put off buying new equipment, restrict travel and hiring and freeze salaries.

Source: http://news.yahoo.com/maine-governor-signs-hospital-debt-195926368.html

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