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May 6, 2011 in City
Medicaid bill would shift control
McMorris Rodgers proposal would give states say on eligibility
U.S. Rep. Cathy McMorris Rodgers, R-Wash., this week introduced a Republican proposal touted as a way to corral Medicaid spending by giving states more say in who qualifies and who doesn’t.
Medicaid, an entitlement program that helps pay the medical bills of millions of poor and disabled people, has grown in scope and expense.
States match federal dollars to fund the program, but its costs are weighing on states that are struggling with huge budget gaps, such as the $5 billion shortfall facing Washington state.
McMorris Rodgers said her bill would fundamentally change the program by giving states broader discretion on eligibility standards.
Democrats say the plan is just another attempt to strip medical help from the poor.
The bill has yet to find any Democratic support, acknowledged Todd Weiner, a spokesman for McMorris Rodgers.
Called the State Flexibility Act, the bill would repeal a Medicaid requirement called “maintenance-of-effort,” which was included in the controversial federal health reform legislation passed last year. The provision attached strings to extra federal Medicaid dollars needed by the states, requiring them to agree not to tighten eligibility standards for people enrolling in the program.
Those requirements have chafed governors in some states.
Because Medicaid is such a large part of state budgets, Republicans say states have to make exceptionally deep cuts in other programs.
In a prepared statement, McMorris Rodgers singled out Washington state and noted that Gov. Chris Gregoire has called for more flexibility in managing Medicaid in the face of the state’s budget crisis. McMorris Rodgers’ statement went on to say that the main driver of that deficit is Medicaid spending.
Gregoire has yet to review the bill, according to her staff, “but is not interested in denying working families access to health care.”
Although Gregoire has called for flexibility, her office said it was in the context of searching for Medicaid savings without limiting access.
Furthermore, the state’s Office of Financial Management said blaming Medicaid for the state’s projected budget deficit is a stretch.
“We think it’s safer to say that state medical assistance programs are one of the major drivers behind the projected $5.1 billion shortfall,” said OFM spokesman Ralph Thomas.
While McMorris Rodgers and Rep. Phil Gingrey, R-Ga., introduced the bill in the U.S. House this week, a similar version was introduced by Sen. Orrin Hatch, R-Utah, in the U.S. Senate.
Medicaid spending is a quandary for health care providers. Reimbursements are widely panned as too low, and yet in cities like Spokane where poverty rates are high, the program ensures hospitals and clinics receive at least some payment for treating the poor.
Eligibility cuts that could follow a repeal of the federal “maintenance-of-effort” requirement as sought by the bill are worrisome because they might inflate the number of uninsured, some health care groups wrote in a letter to U.S. health Secretary Kathleen Sebelius.
McMorris Rodgers opposed federal health reforms signed into law by President Barack Obama.
Parishes giving $1.5 million toward settling sex cases 
Ninch on May 06 at 7:57 a.m.
States should have more control over Medicaid spending. The idea that the feds can effectively micromanage Medicaid is unrealistic. Also the idea that our own elected state representatives would “strip medical help from the poor” is just a scare tactic. Without all the federal mandates states could instead make funding go further. Again remember that the states utilize matching state funds for Medicaid, yet unelected federal bureaucrats essentially determine how that money is to be spent. Also most don’t know that the feds “exempt” certain states already regarding eligibility requirements and thus not all states are treated equally. (And more reason to ignore anything Sebelius has to say.) Not so simple (and more expensive) when feds are involved.
leekinny on May 06 at 8:02 a.m.
GOP endorsed death panel.
Scoutster on May 06 at 8:03 a.m.
Paul Ryan did 17 town hall meetings during the recess.
Cathy did NONE!
I’d love to have a chance to tell her what I think about this proposal, but she is no where to be found. Why is that? Her office won’t say.
More local control is good, because the mandates and regulations under Medicaid are absurd. But, it is hard to imagine competent design and control from our current model of DSHS, etc. And, of course, the only reason this is being suggested is because it is going to cost less. Anyway you shake it, that means less services to poor, disabled, and elderly people.
If you think that’s a good idea, you will like this. If not, you will not.
leekinny on May 06 at 8:18 a.m.
She has only sponsored 4 bills with none of them becoming law.
http://www.opencongress.org/people/money/400659_Cathy_McMorris_Rodgers
SugarShane on May 06 at 8:33 a.m.
leekinny beat me to the Death Panel comment, funny how tbaggers only get riled up when Dems do anything. All you old people in the tparty are going to crap your pants if you get booted off medicaid arent you.
meadman on May 06 at 9:03 a.m.
Cathy knows better than to attend any town hall type meetings.. someone might ask her a substantive question and without Boehner/Cantor to tell her how to answer she would be totally lost!
MrNatural on May 06 at 10:55 a.m.
The not-so-chatty Cathy is just a tool and this proposal fools no one…never have I witnessed such blatant conservative party manipulation to twice appoint a corporate shill as this congresswoman. What in heaven’s name has she done for her district? Can somebody tell me something concrete she has accomplished so I can go look and see it? Who is benefiting from her appointment? When was the last time this woman came down and served soup to the homeless and fought against the poverty in her district? Why does she never seem to hold open to the public town hall meetings? She seems to be the master of stealth politics and is living in a gilded society that is so far removed from the needs of her constituents it sickens me.
Will one of her supporters please tell me what she has accomplished for our district other than chew on the presidents shoelaces?
Where is Tom Foley when you need him…