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Nations Governors Reject Bush Medicaid Proposal

  • February 28th, 2003

In a setback for the Bush administration, the nation''s governors have chosen not to endorse President Bush''s proposal for sweeping changes in Medicaid, according to an article in The New York Times.

Instead, the National Governors Association decided at its annual meeting to negotiate with the administration on legislation to slow the growth of Medicaid spending, which is financed jointly by the federal government and the states.

Under Bush''s Medicaid reform proposal, states would be permitted to change Medicaid rules and regulations for about 15 million low-income people--many of them children and elderly people in nursing homes--whom states have chosen to include in their Medicaid programs. The proposal also would give states a fixed amount of money, rather than matching funds, for the beneficiaries whom they choose to cover. See ElderLawAnswers articles "Bush Proposes to Give States More Control Over Medicaid" and "Bush Medicaid Plan Threatens Coverage for Millions of Elderly."

Tommy G. Thompson, the secretary of health and human services, had said that he wanted and expected the governors to endorse the president''s Medicaid proposal.

The governors did agree that the federal government, through Medicare, should assume the entire cost of health care for low-income elderly people eligible for both Medicaid and Medicare. This group of six million people accounts for about 15 percent of Medicaid recipients, but 35 percent of the program''s costs.

To read the full article in The New York Times, click on: http://www.nytimes.com/2003/02/26/politics/26GOVS.html (Free registration required and article may be only temporarily available.)

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Last Modified: 02/28/2003

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