Senate Bill Penalizes States With Expanded Health Coverage

Officials in some 20 states with already expanded healthcare coverage are arguing that the health reform bill just passed by the Senate would unfairly penalize them for their expansions, according to a report by the New York Times.

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For example, officials in Arizona, which expanded Medicaid coverage in 2000, project that the state’s share of Medicaid spending under the Senate bill would be $17 billion in the first seven years of reform, compared with $1.4 billion if Arizona had not expanded coverage.

However, the health reform bill passed by the House in November would give more relief from the cost-sharing provisions to states with expanded coverage than the Senate bill does.

The difference will have to be sorted out by the House-Senate conference committee tasked with merging the two bills in the next month.

Read the New York Times’ report on health reform.

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