Pennsylvania to join Obamacare

Posted 8/21/12

HARRISBURG, PA — With his polling numbers looking as bad as ever, Gov. Tom Corbett announced on August 28 that his office has reached an agreement with the administration of President Barack Obama …

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Pennsylvania to join Obamacare

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HARRISBURG, PA — With his polling numbers looking as bad as ever, Gov. Tom Corbett announced on August 28 that his office has reached an agreement with the administration of President Barack Obama that will allow the state to accept an expanded Medicaid program, which will allow up to half a million low-income state residents to have access to low-cost health insurance.

Corbett painted the announcement as a victory. A press release from the governor’s office said, “Medicaid costs account for 29% of the state’s general fund budget and have been growing at an average rate of 3%—more than $400 million—each year. Gov. Corbett has been clear that he would not expand Medicaid because it is an unsustainable entitlement program. Instead, the Corbett administration sought common-sense reforms to the Medicaid program.”

Corbett’s effort was praised by the Pennsylvania Department of Public Welfare (DPW) Secretary Beverly Mackereth, who said, “Health care is not a one-size-fits-all issue. Gov. Corbett is the first governor to tackle much-needed Medicaid reforms since the program’s creation, with the goal of protecting Pennsylvania taxpayers and looking ahead to maintain a safety net for those who most need public assistance.”

But critics say Corbett received a very small part of what he asked for from the federal government and Democrats in the Pennsylvania House and Senate were quick to criticize Corbett’s actions as a waste of time.

Rep. Dan Frankel said in a press release. “In short, the difference between the Medicaid expansion plan approved and the Medicaid expansion plan the governor could have accepted and implemented on January 1, 2014, amounts to little more than wasted time and money. All he has really done is delay the process and deny coverage to more than half a million Pennsylvanians for at least a year.

Democrats also said the most controversial provisions of Cobett’s plan were rejected by the federal government, including premiums that were considered too steep.

Rep. Joe Markosek said, “While Pennsylvania will be permitted to charge modest premiums for coverage beginning in 2016, those premiums and other cost-sharing proposals must be in line with federal regulations. The governor’s original proposal included monthly premiums and other cost-sharing requirements that could have priced many eligible Medicaid recipients out of coverage.”

In the Senate, Sen. Jay Costa wrote, “The approval of the long-delayed Medicaid expansion is in close proximity to the position that Senate Democrats adopted long ago… The governor’s private insurance model was rejected, and the federal government approved a plan that incorporated the Senate Democratic proposal to use the established managed care system to deliver benefits. We are pleased that the governor is finally turning down the path cut by Senate Democrats more than a year ago.”

Sen. Vincent Hughes wrote, “The governor has moved toward the full adoption of Obamacare for the citizens of Pennsylvania… It is an open question whether Pennsylvanians will be able to afford health care access with the requirement that those above the federal poverty level must pay premiums beginning in 2016. We need to study the details of the plan and be willing to make changes if political winds change.”

Republicans in the house and senate did not issue press releases related to the healthcare announcement.

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