Wis. Medical Group to Sue Lawmakers over $200 Million Fund Transfer

October 24, 2007

The Wisconsin Medical Society is planning to challenge lawmakers' decision to transfer $200 million from a medical malpractice fund to help balance the budget.

Lobbyist Mark Grapentine says the group has hired a lawyer who won a similar case against the state involving pension funds. He says a challenge will be filed shortly after Gov. Jim Doyle signs the budget into law.

Doctors and hospitals pay premiums into the Patients' Compensation Fund for medical malpractice insurance. The fund had $746 million in assets last year.

Doyle and lawmakers say the fund has a surplus that can be used for health care programs. But the Legislature's own auditor says the transfer might be illegal and will put the fund on poor financial footing.