County Accepts Loan to Keep Medical Program Alive

The San Diego County Board of Supervisors decided Wednesday to accept the state’s offer of a $9-million loan to fund medical services for the poor--sort of.

The supervisors decided to take the loan only if the state agreed to forgo repayment if the county convinces a court that the state illegally slashed its support for the County Medical Services program, also known as CMS.

On March 8, county officials refused to pursue the idea of a loan at all, saying it would just put the county deeper into a financial hole.

The vote to reopen discussions with the state came Wednesday during a closed session to discuss the fallout of a judge’s injunction Monday, said Bob Lerner, a board spokesman.

Superior Court Judge Harrison Hollywood prohibited the county from shutting down CMS, saying there would be irreparable harm to the health of about 17,000 county residents otherwise. The supervisors had planned to eliminate the program at midnight Tuesday because of a lack of funding.

The program reimburses doctors, hospitals and community clinics for caring for about 25,000 adults every year with life-threatening conditions and no means to pay for their care. Many of the people are uninsured working poor.

Legal Aid lawyers filed suit on behalf of patients to stop the closure, and Hollywood issued the injunction at their urging.

However, the county has filed a related cross-claim asking that the judge order the state to reimburse the county fully for its CMS costs. The county contends the state should pay the full $41-million annual cost, instead of the $19 million it has provided this fiscal year.

Also at Wednesday’s meeting, supervisors directed the county administrator’s office to come up with specific plans for cuts in other programs if the $9 million quasi-loan from the state is not forthcoming. Those proposed cuts will be discussed April 2, Lerner said.