The Kaiser Family Foundation (KFF) recently released an issue brief highlighting what a Medicaid per capita cap could mean for people with Medicare who have low incomes. Through the American Health Care Act, some policymakers propose capping what the federal government pays for Medicaid benefits—effectively undermining the program’s basic promise and guarantee.
KFF sums up the impact of a Medicaid per capita cap for low-income people with Medicare with the following key points:
Source: Kaiser Family FoundationThe effects of a per capita cap would vary depending on the circumstances in a particular state, but experts warn of an array of negative consequences. Last week, Medicare Rights attended an event hosted by the National Coalition on Health Care, on this issue. During the event, Cindi B. Jones, Director of Department of Medical Assistance Services of the Commonwealth of Virginia, expressed concern that the state of Virginia would lose $22 million the first year of proposed caps and $700 million over 10 years. Jones pointed out that states have only three ways to save money and prevent Medicaid losses: cut provider payment rates, cut services covered, or cut eligibility—making it more difficult for low-income people to enroll.