Medicaid cuts weaken Idaho’s health care safety net, says AARP

The 217,000 Idahoans, 15% of the state's population, who rely on Medicaid for basic health services, are bracing for bad news from state lawmakers -- more cuts to their health care safety net.  Today, the Idaho House voted to bring those cuts one step closer to reality, passing a bill that would weaken the program for children, families and the elderly -- AARP says the move highlights the need for federal health reform.  

The proposed cuts would slash $22 million from the state Medicaid budget, but would grow to over $100 when coupled with the loss of federal matching funds of roughly $83 million, coming at a time when more Idahoans are turning to Medicaid due to difficult economic times.

"These harsh cuts to Medicaid will force more Idahoans to struggle with soaring health care costs when they can least afford to," said Jim Wordelman.  "While Idaho fights federal health reform efforts, the bill before the U.S. Senate would deliver much needed relief to those impacted by these cuts."

Under the health insurance bill expected to come before the U.S. Senate in next several days, the federal Medicaid match will cover 100% of the cost of new enrollees for the next several years. The bill also helps low-income people have access to affordable health insurance plans. Additionally, the health insurance reform package stops insurance companies from pricing people out of coverage because they have an existing health problem or arbitrarily limiting the amount of care someone can receive.  

"More cuts to Idaho's Medicaid program will only make the health care crisis in Idaho worse when the need for solutions has never been stronger," added Wordelman.  "AARP is urging the U.S. Senate to pass the House reconciliation bill and bring relief to Idahoans who are saddled with soaring costs that are keeping them from the health care they need."

The federal package will also crack down on insurance company abuses and protects and strengthens guaranteed benefits in Medicare, the program over 213,000 Idahoans depend on.  It closes the dreaded Medicare Part D 'doughnut hole' and limits insurance companies' ability to charge higher premiums based solely on age. 

Among the hardest hit by state Medicaid cuts are the most vulnerable populations in the state including 23,000 elderly, who are eligible for both Medicare and Medicaid.  Over 35% of Idaho's Medicaid funding is spent on long-term care services for the elderly; the cuts could force many prematurely into nursing homes, which can be as much as five times as expensive as home care covered under Medicaid.