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Tuesday, September 13, 2005
Medicaid
Between 500,000 and 1.5 million children
would lose health insurance coverage under a National Governors
Association proposal to help reduce Medicaid costs, according to a
study released Monday by PICO, CQ HealthBeat reports. NGA's proposal to
Congress would raise copayments, premiums and deductibles that are now
covered by Medicaid. PICO, a national network of faith-based community
organizations, said many low-income families would not seek needed health
care under NGA's proposed plan because states could charge children living
in families above the poverty level new access fees, CQ HealthBeat
reports. In addition, the study indicates that about 70% of
children live in states that charge some low-income children premiums.
PICO members criticized the NGA proposal and said lawmakers should not
reduce federal Medicaid spending in the wake of Hurricane Katrina. Senate
Finance Committee Chair Chuck Grassley (R-Iowa) supported the Medicaid
cuts and said, "It's important to understand that the Medicaid reform
effort is about fixing loopholes and stopping abusive spending so that
more money is available to help states reach those in need both in the
short and long term." NGA issued its plan amid congressional debates over
a proposed $10 billion reduction in the growth of Medicaid spending as
part of the budget reconciliation process (CQ HealthBeat,
9/12).
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