Western Connecticut Health Network has seen $84 million in state funding cuts over two years, including last week's $6.8 million reduction according to Danbury state Senator Mike McLachlan. He says they were asked by Connecticut hospital executives to intervene and prevent $63.4 million in new cuts to state Medicaid payments to their health care facilities.
Malloy's budget director said recent stock market losses have cut into state revenues. McLachlan says the executive order basically cuts the legislature out of the budget making process.
Senate and House Republicans joined hospital officials on Tuesday in calling for a special legislative session to address the state's budget situation. Western Connecticut Health Network CEO Dr John Murphy was among the Connecticut hospital executives at the state capital calling on the General Assembly to intervene.
Jennifer Jackson, president and CEO of the Connecticut Hospital Association, on Tuesday said the reduction will lead to a $130 million decline in federal reimbursement. Coupled with the cuts already in the new state budget, Jackson predicted there will be employee layoffs.