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Gov. Terry McAuliffe proposes Medicaid expansion for Virginia

Announcement follows failed repeal and replacement of the Affordable Care Act

<p>McAuliffe’s proposal aims to expand coverage to 400,000 Virginians.</p>

McAuliffe’s proposal aims to expand coverage to 400,000 Virginians.

Gov. Terry McAuliffe is proposing to expand Medicaid in Virginia after the U.S. House of Representatives failed to repeal and replace the Affordable Care Act on March 24, which would have led to major decreases in federal funding of Medicaid. McAuliffe has proposed annual changes to the state’s budget since he was elected in 2013 that have been blocked by the General Assembly.

“The ACA is the law of the land and it's here to stay. I'm proposing a budget amdt [sic] to move forward with Medicaid expansion by Oct 1,” McAuliffe tweeted Monday.

In Virginia, an individual must make less than $15,800 per year and meet non-financial requirements, such as disability, pregnancy or other factors to qualify for Medicaid.

McAuliffe’s proposal aims to expand coverage to 400,000 Virginians.

Virginia House Minority Leader David Toscano, a long-time proponent of Medicaid expansion, said the expansion would allow for job creation and the redistribution of federal funds that are otherwise being wasted.

“It wouldn't cost us anything because the federal government was picking up the tab,” Toscano said in an interview with The Cavalier Daily. “It would allow us to take back some of the tax monies that Virginians are paying for the Affordable Care Act from Washington and bring them back to Virginia to help us with our budgetary challenges.”

Geoffrey Skelley, associate editor of Sabato’s Crystal Ball, said McAuliffe’s 2014 efforts to expand coverage seemed promising compared to previous years, but failed when State Sen. Phillip Puckett (D-Russell) resigned and power shifted to Republicans.

With maintained Republican control over the General Assembly, Skelley said it is unlikely the budget amendment will pass. In certain states, politicians have expanded Medicaid by using alternative legislative processes.

“In those states the Governor has been able to more unilaterally expand Medicaid or use a non-legislative tool to expand Medicaid,” Skelley said.

He cited Ohio, where Republican Gov. John Kasich used Ohio’s Controlling Board to expand Medicaid, instead of going through the Ohio House and Senate. However, he noted conservatives have largely blocked these strategies in Virginia and stated they will vote against the amendment in the formal legislative process.

“We rejected expansion in 2013, 2014, 2015, 2016 and again in 2017 because it was the wrong policy for the Commonwealth. The lack of action in Washington has not changed that,” House Speaker William J. Howell (R-Stafford) said in a statement.

Howell argues taxpayer money could be better spent in other areas.

“Every dollar spent on Medicaid is one less that can be spent on education, transportation or public safety,” Howell said. “The House will reject the Governor’s amendment when we reconvene on April 5 and ensure that Virginia does not expand Medicaid under Obamacare.”

Toscano said the money already exists in the federal government and will not be used in other fields, so he thinks it is up to the state legislature to claim this funding for health care.

“The irony is that there are certain parts of the state budget that are being expanded by the Republicans in a way that only accesses 50 percent of the cost from the federal government, where we can access between 90 percent and 100 percent of the cost from the federal government,” Toscano said. “This is money that’s coming from the federal government, it’s not money being taken out of our budget.”

Jeff Ryer, press secretary for the Virginia Senate Republican Caucus, said with full confidence McAuliffe’s bill will not pass.

“Virginia is not going to be expanding Medicaid. Governor McAuliffe has offered a budget amendment to do so — his 5th attempt to enact Obamacare’s optional Medicaid expansion scheme — knowing the General Assembly will reject it,” Ryer said in an email to The Cavalier Daily. “As has been the case from the outset of his administration, Governor McAuliffe’s primary focus is on Washington politics and scoring partisan points.”

Republican leaders in some other states, such as Kansas, have reacted to the recent House vote by increasing support for Medicaid. By continuing to oppose expansion in Virginia, Del. Toscano said the state is losing valuable money.

“Failing to expand Medicaid has cost Virginia about $10.4 billion that would’ve otherwise come to the state to help Virginian residents have better health care,” Toscano said.

Whether or not the budget amendment to expand Medicare will pass, Skelley and Toscano said McAuliffe’s timely announcement will affect gubernatorial candidates’ campaigns.

McAuliffe’s office did not respond to The Cavalier Daily for comment by press time. The House of Delegates will consider the proposal in early April. 

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