Schor Resolution Calls For Medicaid Expansion

Expanding Medicaid would compensate hospitals for care, save taxpayer dollars
Thursday, January 24, 2013

LANSING - State Representative Andy Schor (D-Lansing) today introduced a House Resolution calling on Gov. Rick Snyder to expand Medicaid under the federal Affordable Care Act (ACA). Under the ACA, the cost of expanding Medicaid to more residents would be covered100 percent by the federal government from 2014 through 2016. After that, the federal government would cover no less than 90 percent of the cost.

“Michigan really can’t lose under this Medicaid expansion because people will get the care they need, hospitals will get compensated for more of the uncompensated care they now provide, and taxpayers will save money when people get care early in a doctor’s office instead of using the emergency room,” Schor said. “Proper health care also means that people will stay healthy and on the job, and that will help them better provide for their families.”

As many as 600,000 Michigan residents could become eligible for Medicaid under the higher poverty threshold called for in the ACA. The House Fiscal Agency (HFA) estimates that the expansion would bring as much as $2.2 billion per year in federal revenue into Michigan over a ten-year period. HFA estimates that the expansion would result in net savings to the state from 2014-1019, and would be roughly cost-neutral in following years.

“Expanding Medicaid also means that more children will get proper health care, and that will help them stay in school and on track to succeed and graduate,” Schor said. “Providing better health care under the ACA and through Medicaid is another investment in Michigan’s future. That is why I urge Gov. Snyder to accept the increased funding the federal government is offering in order to expand Medicaid to more of our needy residents.”

A recent poll done for the American Cancer Society’s Action Network found that a majority of Michiganders support expanding Medicaid eligibility. Their poll showed that 63 percent of respondents supported expanding Medicaid, especially if it is funded by the federal government, compared to 23 percent who did not support the expansion.