Fourth attempt at Medicaid expansion killed

By Juliette Laaka | Apr 30, 2014
Photo by: Juliette Laaka

Augusta — Gov. Paul LePage vetoed a last minute Medicaid expansion plan April 29, a proposal that was passed by the Legislature two weeks ago, and is the fourth effort in two years lawmakers have attempted to expand health care coverage to an estimated 70,000 Mainers.

LePage called the amendment to the Democratic bill proposed by Speaker of the House Mark Eves, D-North Berwick, an 11th-hour political ploy. LePage has vetoed the previous three bills in the 126th session, including a Republican sponsored plan.

"Liberals push policies that will cost Maine taxpayers millions of dollars and put the state deeper into debt," LePage said in a press release, adding expansion will cannibalize the state's general fund.

The last day of the session, known as Veto Day, is Thursday, May 1. The Senate was not able to muster the votes to override the Governor's veto.

The amendment to Eves' original bill, LD 1578, first proposed in January, is modeled after a marketplace premium assistance program adopted in New Hampshire. The amendment proposes that beginning Aug. 1, assistance under the MaineCare program is provided as a bridge to purchasing coverage from a private option health plan on the federal marketplace.

In July 2015, assistance for childless adults is limited to a subsidy in purchasing coverage from a new program, The Maine Marketplace Premium Assistance Program, administered by the Department of Health and Human Services, the amendment reads.

The House voted in favor of the amended bill 95 to 52, and the Senate voted 19 to 14 to accept the bill. The votes are not enough to override a veto.

Eves said in a previous interview, passing Medicaid expansion will happen, it is just a matter of when, and how much money the state will lose out on. The federal government proposes funding 100 percent of the cost of implementing expansion until 2017, and will then fund up to 90 percent of costs. Eves said Maine has already lost out on $250 million.

Jeff Evangelos, I-Friendship said previously it was a big effort on Eves' part to compromise with Republicans and unfortunately, it did not attract additional votes.

In the amended bill, 55,000 of 70,000 of those covered under expansion would be shifted to a private market plan; and 15,000 individuals would remain on MaineCare. DHHS would be the administrator of the plan, which involves co-pays and deductibles, said Evangelos.

The federal money for expansion, instead of solely funding a state program, would go toward subsidies for individuals to buy private insurance.

Eligibility of MaineCare comes in two parts. It is based on income, and also a categorical need. Those categories include an individual having a disability and/or having a minor child in the home.

Under this system, a 30-year-old making less than $11,500 a year is not eligible as only his or her income qualifies for state aid. This is the individual the Affordable Care Act hoped to cover with the expansion of Medicaid.

Sen. Ed Mazurek, D-Rockland, who voted in favor of the amended bill, said the chances of the bill mustering enough support to override an expected veto will be close.

Courier Publications' reporter Juliette Laaka can be reached at 594-4401 ext. 118 or via email at jlaaka@courierpublicationsllc.com.

Comments (7)
Posted by: Denise DeVaney | May 02, 2014 06:51

The Federal subsidy would have paid 100% of the program until 2017, and 90% for several years after that. AND, the fourth Medicaid bill - and the fourth one to be vetoed - had a provision to stop the program if the portion we were to pay after that could not be supported. This program would not have cost us money, it would have saved money. And helped 70,000 Mainers in the process.



Posted by: Sonja Sleeper | May 01, 2014 13:10

Why didn't the Affordable Care Act provide coverage for these individuals on the health exchanges in the first place?  Oh wait it did.  Read section 221 Under Title II --Health Insurance Exchange and Related Provisions.  Subtitle B, Establishment and Administration of a Public Health Insurance Option as an Exchange Qualified Health Benefits Plan.  Secretary to establish Geographically based premium rates.  I guess it was easier to expand Medicaid at State expense?    I believe it is the old bait and switch, in three years we will loose federal subsidies to pay for this or find coverage options significantly reduced which will place a huge burden on the State budget. 



Posted by: Jeri Holm | May 01, 2014 13:07

November can't come soon enough.

 



Posted by: Denise DeVaney | May 01, 2014 10:36

Susan, I'm with you. Enough is enough.



Posted by: Dale Landrith | May 01, 2014 08:39

Expanding Medicaid ultimately will cost Maine huge dollars we do not have and further delay those who are waiting for coverage under current Medicaid. The next time someone is upset about cuts to education, they should look at Medicaid expenditures.



Posted by: Susan Sinclair | May 01, 2014 06:02

Ohhh, how I long for November...



Posted by: Richard McKusic, Sr. | Apr 30, 2014 16:56

What is there not to like about this bi-partisan bill that requires co-pays and deductables???? 



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Juliette Laaka
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Juliette primarily covers the cops and courts beat for The Courier-Gazette.

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