Medicaid Suit 

Maine is joining three other states in a

suit against the federal government over new Medicaid rules.

Maine Attorney General Steven Rowe says Medicaid case management

rules would harm Medicaid enrollees and cost Maine’s general fund

$16 million.

The suit filed in U.S. District Court in the District of

Columbia names the Department of Health and Human Services and

Secretary Michael Leavitt as defendants. Rowe says Maryland, New

Jersey and Oklahoma are joining Maine in the suit.

The states allege that portions of the revised rules violate the

2005 Deficit Reduction Act and parts of the Social Security Act.

Jeff Nelligan of Medicare and Medicaid Services says the

government has no response at this time.

The federal department has maintained that the case management

rules were revised in part because of improper billing of Medicaid

by the states.