As States approach new spending budget years, many will end up being cutting Medicaid States have got taken a variety of trims, from stopping obligations for circumcisions in Colorado to lowering payments for rehabilitation providers in Kansas to increased co-obligations in California. The Associated Press/MSNBC: Claims Stop Circumcisions Money Amid Spending budget Crisis A nationwide debate about circumcisions for newborn boys, combined with cash-strapped public wellness budgets, has Colorado taking sides with 17 other states that no more fund Medicaid coverage of the once widely accepted procedure. Kansas Health Institute Information: SRS Programs 3 Percent Trim In Medicaid Reimbursements Representatives of many social service providers have been told this week by state welfare officials to anticipate a 2 .5 % reduction in their Medicaid reimbursements effective July 1.