This report highlights some key questions about provisions related to Medicaid, the Children’s Health Insurance Program (CHIP), and provisions that affect low-income individuals included in HR 3200, the America’s Affordable Health Choices Act of 2009 (the House Tri-Committee Bill) released on July 14, 2009 and as amended in the Energy and Commerce Committee.

From the report:

• Medicaid is the nation’s primary health insurance program for low-income and high-need Americans providing affordable and comprehensive coverage to 60 million Americans. States administer the Medicaid program within broad federal guidelines and financing is shared between states and the federal government. Key elements of the bill that affect Medicaid and low-income individuals include:
• Requirement that individuals have health insurance through a combination of public and private coverage expansions, and to help those who cannot afford it, the bill relies on Medicaid and subsidies to low-income people buying in the Exchange;
• Expansion of Medicaid to a national floor of 133% of poverty which would reduce state-by-state variation in eligibility for Medicaid and also include adults without dependent children who are currently not eligible for the program; and individuals with Medicaid above 133% of poverty would continue to be eligible;
• Medicaid expansions would be fully federally financed (amended in the Energy and Commerce Committee to replace full federal financing for Medicaid coverage expansions with 100% federal financing through 2014 and 90% federal financing beginning in year 2015).
• Increases in Medicaid physician and other practitioners payment rates for primary care services to 100% of the Medicare rates by 2012 with 100% federal financing for the increase initially and 90% FMAP after 2015; and
• Elimination of the CHIP program in 2013 and the transition of CHIP enrollees to the new Health Insurance Exchange.

Full report:  Key Questions About Changes for Medicaid and Low-Income Individuals (PDF | 241.47 KB)

The Henry J. Kaiser Foundation. (2009). Key questions about changes for Medicaid and low-income individuals.