Louisiana provider groups warn deadline clash could stall Medicaid rate boost

The Louisiana Department of Health is preparing revised payment rates for home- and community-based services that enable people with disabilities to receive care outside institutions. While the department intends to secure full funding for the new rates in the fiscal-year-2028 budget, it must submit its preliminary budget request by Nov. 1, whereas providers are not required to turn in the cost reports that determine the rates until Nov. 30.

In a July 29 letter, the Arc of Louisiana, the Community Provider Association of Louisiana and the Supported Living Network asked Health Secretary Bruce Greenstein to adjust the timeline, rely on existing data, or include a provisional figure that could be revised later. The groups argue that existing Medicaid payments do not fully meet care costs and that another delay would worsen workforce shortages and increase financial pressure on providers. They also requested clarification on how the rate increase will be incorporated into the budget request and confirmation that the department will pursue full funding.