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Louisiana Department of Health requests FY26 Medicaid funding increases; MCO adjustment, physician rate bump and PBM costs draw scrutiny
2903172 · April 8, 2025
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Summary
LDH told the House Appropriations Committee the department’s FY26 total request is $21.4 billion, with Medicaid accounting for roughly $19.6 billion; LDH highlighted a large managed‑care adjustment (about $1.2 billion), proposed physician fee increases to 85% of Medicare for FY26 (with a plan to reach 100% in FY27) and flagged federal grant termin
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