DHS Secretary Makes Case For Passing By Medicaid Expansion

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Department of Health Services Secretary Kitty Rhoades told lawmakers today that the Governor’s decision to forego federal money to expand Medicaid would provide long-term stability to programs like BadgerCare.

The non-partisan Legislative Fiscal Bureau (LFB), however, says the move would cost the state an extra $100 million over the next couple years.

The LFB also found that not only would Walker’s budget cost the state more, it would mean 90,000 fewer people receiving BadgerCare. During a briefing before the legislature’s Joint Finance Committee, Milwaukee Assembly Democrat Jon Richards asked Rhoades why that was a good deal: “Under your plan, we cover fewer people. We spend more money”

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And, Richards said, the state would let federal tax money get spent in other states, several of which have Republican Governors. Rhoades shot back that the Governor’s budget would cover the poorest individuals, whether they’re parents or not: “The rest will be in the health insurance exchange, which is part of the Affordable Care Act, which is the law of the land providing commercial insurance.”

But criticism did not come from Democrats alone. Ripon Republican Senator Luther Olsen said the hospitals he talked to favored taking the federal money to expand Medicaid, believing it would save them money and cover more people. Olsen sounded like he favored it, too: “I always, in my life, never leave any money on the table. And it seems to me we’re sort of leaving some money on the table here.”

Other Republicans strongly supported the Governor’s plan, suggesting it ought to be a model for other states.