Pennsylvania to unveil proposal on extending Medicaid access
Fri, Sep 13 2013 - Reuters
By Daniel
Kelley
PHILADELPHIA (Reuters) - Governor Tom Corbett is expected to propose early
next week that Pennsylvania extend Medicaid benefits to more low-income
residents, likely helping them purchase private insurance using Medicaid funds,
a Republican state representative said on Friday.
State Representative Gene DiGirolamo, chairman of the House Human Services
Committee, Corbett's proposal probably will look similar to plans in Iowa and
Arkansas, other states where officials have resisted the outright expansion of
the Medicaid program under President Barack Obama's healthcare reform law.
The model these states are considering would allow them to extend health
coverage to more of their poor when the law takes full effect on January 1. Such
plans require a waiver from the U.S. Department of Health and Human
Services.
"The people covered by the expansion are people with no disposable income to
buy private insurance," DiGirolamo said. "These people will still be out there,
and their only alternative is the ER."
Corbett spokeswoman Lynn Lawson says that the administration has begun
meeting with legislators this week to explain the proposal, but provided no
details.
Corbett "has been very clear about the need for reform," the governor's
office said in a statement. "There are a number of interesting options under
review and consideration as he develops a plan that ensures quality and
accessibility for all Pennsylvanians. He will have more to say on this issue
sometime next week."
Corbett had long opposed the Medicaid expansion. But local organizations,
including hospitals, have pressured elected officials not to forfeit the
additional federal funds that come with extending the program. Twenty-six states
have so far refused to expand Medicaid under "Obamacare."
The Hospital and Health System Association of Pennsylvania estimates that
roughly 350,000 low income, non-elderly state residents would be covered by the
Medicaid expansion outlined in the new law.
HHS, which has sought to keep an open door to states that initially rejected
Medicaid expansion, said it was "eager" to work with Pennsylvania on coverage
options.
"HHS is committed to supporting state flexibility, within the confines of the
law," the department said in a statement.
Under Obama's 2010 Patient Protection and Affordable Care Act, as many as 9
million Americans are expected to obtain health coverage next year by raising
the income threshold for Medicaid eligibility to 138 percent of the federal
poverty level in states that accept the expansion.
The federal government will cover the entire cost of new beneficiaries for
the first three years, and then lower its participation to 90 percent over the
remaining decade.
Uninsured people with higher incomes will be able to shop for subsidized
private insurance in new online marketplaces being set up in each state under
the law.
(Additional reporting by David Morgan in Washington; Editing by Michele
Gershberg and David Gregorio)
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