Medicaid overhaul saves state $1.3 million

CREATED Sep. 26, 2012

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TOPEKA, Kan. (AP) Officials from two state agencies tell a legislative committee that Kansas is making progress in its overhaul of its Medicaid system.

Shawn Sullivan, secretary of the Department for Aging and Disability Services, said Wednesday that the state has saved more than $1.3 million from changes made in the system in the past year.

Sullivan said the savings came from reducing staff when some state agencies were merged and several employees took voluntary early retirement.

He said any further staff reductions would be handled through attrition as three managed care organizations take over Medicaid services for the state.

Kansas is seeking a federal Medicaid waiver as part of the overhaul. A decision is expected later this year.