Thursday, January 17, 2013

Florida Supreme Court Upholds Retirement Law

Today, the Florida Supreme Court upheld the Legislature's requirement that state employees contribute 3 percent of their pay toward the state pension system, overturning a lower-court decision last year that had held it was unconstitutional. The ruling allows the Legislature to avoid having to replace funds contributed by employees since the law went into effect in July 2011. The state now avoids a nearly $2 billion budget gap which would have likely affected funding decisions this session.

During the 2013 session, FHCA and its members will be advocating for the Legislature to begin working toward restoring Medicaid funding cuts that providers have experienced since 2008 - nearly $695 million in reductions. Long term care providers in Florida have been hit hard by deep cuts to Medicaid and Medicare over the past several years. As Governor Scott and House and Senate leadership begin developing their budgets for the upcoming session, we stand ready to work with them to continue acknowledging that Medicaid funding cuts are something we cannot absorb in 2013. Our sector needs a break to return as healthy contributors to economic growth while delivering high-quality long term care.

To read a copy of the Supreme Court decision, click here.

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