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Joint Budget Committee

Tuesday, January 27, 2026·4h 56m·▶ Watch / Listen

The Joint Budget Committee advanced a sweeping HCPF supplemental package covering Medicaid forecast adjustments, provider rate cuts, and program reductions, with the sharpest fights over children lacking access due to immigration entitlement (passed 5-1, with Kirkmeyer objecting), a 1.6% provider rate reversal (passed 4-2, with Kirkmeyer and Taggart objecting), nursing home supplemental payment withholding (passed 4-2, with Kirkmeyer and Taggart objecting), the senior dental program (department request passed 4-2, with Kirkmeyer and Taggart objecting), and specialty drug rates (motion to reject the department request passed unanimously 6-0, with the department request denied and staff recommendation not adopted). Several items passed 6-0 following staff recommendations, including primary care stabilization payment elimination, accountable care incentives, immigrant family planning, community health workers, recovery audits, and claims reviews. Among the omnibus and procedural items, most passed 6-0, though S6.26 passed 5-1 with Brown objecting and Member Surveys passed 4-2 with Kirkmeyer and Taggart objecting. Multiple items — including HR1 compliance funding, provider rates above 85% of Medicare, and an extra large wheelchair transport rate — were held or deferred pending additional department information.

Key Actions

·S4 – Children Lacking Access Due to Immigration ForecastPassed

+ 14 more actions

Controversies

Whether the executive order legally authorized the 1.6% provider rate reversal (S6.11)

Senator Kirkmeyer argued the department proposed an emergency rule to the Medical Services Board, which would not even make a motion on it, and then proceeded anyway without Medical Services Board or CMS approval — and questioned how the department could 'tell us one story on the stuff they want to cut and a different story on the stuff they don't want to cut.' Representative Brown countered that 'the existing law on the books, even before Senator Amabile's bill during the special session, is that when the reserves drop by a certain amount, the governor can stop spending' and that he disagreed 'that this is in fact like the governor ignoring the will of the legislature.' An OLS legal opinion was requested; Kirkmeyer and Taggart objected and the motion passed 4-2.

+ 3 more controversies

Notable Quotes

“This is a program where the original fiscal note for the bill just missed it by like the distance between Earth and the moon.”

Mr. Kurtz, JBC staff — Describing the magnitude of the forecast error for the children lacking access due to immigration program (S4), which the department originally projected at $32 million but which was heading toward $53.4 million in fiscal year 2526, with expenditures on pace to exceed even that current forecast.

+ 4 more quotes

Votes

Staff rec S4 — Other Programs and Services / children lacking access due to immigration and Medicare Modernization Act forecastPassed
No (1)Senator Barbara Kirkmeyer
Staff rec S6.11 — Provider rate reversal (1.6%)Passed
No (2)Senator Barbara Kirkmeyer, Representative Rick Taggart
Vice Chair Jeff Bridges motion — S6.13 nursing home supplemental payment: recognize $4.4 million general fund reduction, recognize first-half savings for budget balancing without affirming legality, stop payments as of January 1Passed
No (2)Senator Barbara Kirkmeyer, Representative Rick Taggart
Department request for S6.19 senior dental (50% cut, not staff recommendation to eliminate)Passed
No (2)Senator Barbara Kirkmeyer, Representative Rick Taggart
Staff rec S6.26 — Third party pay for drugs / KaiserPassed
No (1)Representative Kyle Brown
Motion to reject department request on S6.27 — Specialty drug ratesPassed
Staff rec S7 [Oscar/Omega] — Member Surveys (including 2 FTE)Passed
No (2)Senator Barbara Kirkmeyer, Representative Rick Taggart
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TranscriptPreview
The Joint Budget Committee will come to order. We are working through hipcuff supplementals today, and, Mr. Kurtz, you are starting us off. Thank you, Madam Chair. I tried to follow a similar organization to the way we had organized the briefing packets. So on page two, you see the request summarized into some large categories, components that are related to the forecast, components that are eligibility and benefit changes, provider rate changes, et cetera. And then on page three begins the first section. Each section has a description of the requests in it. My intent was to organize the request within each of these sections by numeric order. I thought that would probably be the easiest way for the committee to reference it. Unfortunately, the first one is not a great example, because on page three, I made a correction late in the process and had to repull the table. And so the table's not in the order as the descriptions below it. So I apologize for that. But the rest of the document should be organized in that way. So if you can think about, well, is this change a eligibility and benefit change or a provider rate…
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