State Reaches Medicaid Agreement

Montgomery, AL – The state has reached an agreement with Medicaid. Governor Bob Riley confirmed it Friday. He says the deal will end a 15-year-old federal challenge concerning how the Alabama Medicaid office funds benefits. Federal officials had complained for years that the state takes more than its fair share for charity care. The federal government said the state owes more than one billion dollars in back payments. The state has denied that claim. Specific details of the agreement were not immediately released