Advocates and provider groups said Wednesday that the future of Medicaid and the millions of Illinoisans it covers is uncertain as federal lawmakers consider billions of dollars in cuts to the program. [Health News Illiniois]
The House Appropriations-Health and Human Services Committee heard several hours of testimony on the issue Wednesday morning. Rep. Anna Moeller, a Democrat from Elgin and chair of the committee, said the discussion was meant to highlight how the proposed cuts “threaten not only individual lives but the stability of our healthcare system.”
“Since 1965, Medicaid has been a lifeline for millions of Illinoisans, ensuring that children, seniors and people with disabilities receive essential care,” she said. “But today, we know that that lifeline is under attack.”
Department of Healthcare and Family Services Director Elizabeth Whitehorn said that at the end of the last fiscal year, roughly 3.4 million Illinoisans, including 1.4 million children, were covered by Medicaid. Of those covered, 9 percent were seniors and 7 percent were adults with disabilities.
Medicaid covers over two-thirds of nursing facility days in the state and nearly half of all births.
Whitehorn said they are concerned that 770,000 Illinoisans could lose coverage if Congress cuts the Affordable Care Act’s Medicaid expansion. Illinois currently contributes $750 million to cover that population, with the federal government contributing $7.5 billion.
House Republicans last month narrowly passed a budget bill, which is the first step toward extending President Donald Trump’s tax cuts and reducing spending on Medicaid. A House proposal has called for $880 billion in cuts to programs like Medicaid.
Specific cuts or changes to the program have not been introduced, but Whitehorn told lawmakers that the reported changes would all lead to some decline in enrollment or benefits.
A per capita cap to limit federal Medicaid funding to states could cause Illinois to lose between $24 and $39 billion over 10 years.
“We'd be left to make unimaginable decisions about limiting benefits for customers,” Whitehorn said of that option.
Whitehorn said between 344,000 and 633,000 Illinoisans could lose coverage if work requirements are implemented. She said some of those would be due to administrative burdens, such as filing necessary paperwork in a timely fashion.
Another idea floated is to change provider taxes, which states use to help fund the program. The state will collect over $3.9 billion in assessments on hospitals, nursing homes and managed care organizations this fiscal year.
“We are continuing to follow all of this and continuing to assess what it means for the state of Illinois,” Whitehorn said.
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