Governor LePage Signs Supplemental Budget

February 8, 2011

Augusta, Maine – The Maine Legislature passed Maine Governor Paul LePage’s supplemental budget today (LD 100). The spending plan includes $70 million in state funds to pay hospitals overdue MaineCare payments for services going back as far as 2006. The state funding is matched with federal dollars, triggering $248 million in payments to dozens of Maine’s Nonprofit Hospitals.

The Maine Department of Health and Human Services anticipates making payments to more than 30 hospitals by March 31, 2011. The funding estimate, which still needs to be finalized, should reimburse the facilities for unpaid MaineCare balances between 2006 and 2009. Current estimates are below.

The Supplemental Budget also includes provider funding that will maintain solvency in the MaineCare program, ensuring that the 4,000 providers who offer care and services to our 300,000 MaineCare participants continue to get paid.

The Supplemental Budget also includes $4.5 million tax relief through conformity to recent changes in the federal tax code. Teachers who purchase classroom supplies, filers who itemize, parents who claim child care expenses and people taking the earned income tax credit among the 100,000 filers estimated to save on their 2010 taxes because of the conformity provisions.

The Governor’s supplemental budget passed the Maine House of Representatives by a vote of 142 to 3 and the Maine Senate by a vote of 34 to 0. Enacted as emergency legislation, the bill takes effect immediately.

Roll call votes will be available at http://www.mainelegislature.org/legis/bills/displayps.asp?LD=100&snum=125 and http://www.mainelegislature.org/legis/bills/displayps.asp?LD=100&snum=125

Governor Paul LePage returned to the State House Tuesday evening and signed the bill, clearing the way for the Department of Health and Human Services to finalize its payment estimates and pay Maine hospitals long overdue balances and to provide certainty to people heading into tax season.

“I promised the people of Maine that we would pay our bills to our hospitals,” said Governor Paul LePage. “The funding provided in my budget will help preserve vital jobs and ensure critical investments in health care.”

“I would like to thank the Legislature and the Appropriations Committee for the professional and bipartisan work that went into this emergency piece of legislation,” added Governor LePage.

The following is a list of estimated MaineCare payments owed to hospitals:

Acadia Hospital $2,475,048

Aroostook Medical Center $891,170

Blue Hill Memorial (CAH) $3,880,144

Bridgton Hospital $4,496,177

C.A. Dean Memorial Hospital (CAH) $1,460,486

Calais Regional Hospital (CAH) $2,024,574

Cary Medical Center $1,233,891

Central Maine Medical Center $32,626,260

Downeast Community Hospital $345,446

Eastern Maine Medical Center $40,713,460

Franklin Memorial Hospital $9,396,880

Henrietta D. Goodall Hospital $5,838,784

Houlton Regional Hospital $2,679,587

Inland Hospital $4,457,674

Maine Coast Memorial Hospital $9,006,689

Maine Medical Center $24,078,234

MaineGeneral Medical Center $27,078,682

Mayo Regional Hospital $5,097,694

Mercy Hospital $6,858,911

Mid Coast Hospital $6,454,014

Miles Memorial Hospital $1,337,637

Millinocket Regional Hospital (CAH) $112,097

Mount Desert Island Hospital (CAH) $363,342

Northern Maine Medical Center $818,816

Parkview Adventist Medical Center $2,721,013

Penobscot Bay Medical Center $7,622,433

Penobscot Valley Hospital (CAH) $637,507

Redington-Fairview General Hospital $5,532,960

Rumford Hospital $1,933,765

Sebasticook Valley Hospital $3,523,672

Southern Maine Medical Center $9,134,911

St. Joseph Hospital $2,932,812

St. Mary's Regional Medical Center $11,228,071

Stephens Memorial $1,929,907

Waldo County General Hospital $2,947,073

York Hospital $4,586,036