Inching toward agreement on a Medicaid overhaul, a Senate committee Wednesday eliminated a proposal that would have required HMOs to spend 90 percent of the money they receive on patient care.
Instead, the Senate Health and Human Services Appropriations Subcommittee approved a profit-sharing plan backed by the managed-care industry. Under that plan, the state would receive a cut if HMOs make Medicaid profits of more than 5 percent.
