Chris Rothfuss
A bill directed at expanding health insurance coverage has Wyoming state legislators avidly trying to find a compromise.
During the 2014 legislative session, a similar bill to expand Medicaid coverage as a branch of the Affordable Care Act was denied; however, upon recommendation from Governor Matt Mead, the 2015 legislature is reconsidering.
“I agree it is not a good piece of legislation, but, as I see where we are, I think we have to be realistic and say this is the current law of the land,” Mead said in a Casper Star-Tribune article. “But I don’t think we can say to those people in Wyoming who are working who cannot get insurance that we’re not going to do anything.”
The Medicaid bill is a top priority in the legislature, said Senator Chris Rothfuss (D-Albany), as approximately 17,600 Wyomingites who are not currently covered by Medicaid could benefit. Additionally, he said, the state could profit up to $750 million over the next six years. Up to 800 new jobs could be gained, as well, Tom Forslund, director of Wyoming Department of Health, said.
Assuming the bill is passed, the federal government has committed to pay for the program as part of the Affordable Care Act for the next three years, Forslund said. Long term, the federal government will pay for 90 percent, or in other words, for every federal 90 cents paid, the state will pitch in 10 cents.
Allocating money differently in the current budget could cover the state’s cost. Through a decrease in current state health programs that benefit low-income individuals, extra money could be made available for the Medicaid program, Forslund said.
“These people with no insurance have no other place to look for services, so they look to programs paid for by state funds,” he said. “If those through Medicaid expansion have health insurance, we don’t need to have the same level of funding as before because they will have health insurance coverage.”
Paying for the expansion may be more costly than it appears, as Senator Charles Scott (R-Natrona) said he believes the federal government will return to a half-and-half split on costs. The price tag could potentially be between $50 and $70 million, he said.
“Given the collapse in oil, coal and natural gas prices and thus, the taxes from those sources, we will be in a deficit, and living off the reserves we have built up,” Scott said. “In these circumstances, we will have to get the needed money for Medicaid by cutting back something else.”
The “something else” would most likely be education or funding for cities and towns, Scott said. He added universities and community colleges are easier to cut than K-12 schools, as they are protected by court decisions.
“I think UW has a lot at stake in the Medicaid expansion issue,” he said. “I believe a Medicaid expansion will result in a real cut in the UW budget once the feds abandon their promise to pay full cost of Medicaid.”
Forslund said he assured no money would be coming out of the university.
If passed, the Medicaid expansion could have impacts on students, Director of UW Student Health Joanne Steane said. As part of their tuition, all students pay for a Student Health Service fee and can opt-in for the student insurance. The insurance is considered “gold,” Steane said, adding that it has a low deductible and no overall maximum dollar limit.
Even so, a handful of students could still benefit from Medicaid expansion, as there can be additional charges for things like medications, lab tests, etc., Steane said. Those who are not insured by their parents and meet a modified adjust gross income between 100 and 133 percent will be eligible, she said.
“The positive could be a previously uninsured student, now on Medicaid, obtaining medical care that allows him or her to continue in school,” she said.
The bill passed through the state Senate yesterday and will be heard two more times, with the last vote being Wednesday. If it passes there, it will be worked through in the House of Representatives.
“In the end, it will be a close vote one way or another, and I don’t know how it will come down – a lot of senators are undecided” Rothfuss said. “A bill can be killed in any of those readings.”
If the bill is enacted, Forslund said he envisions it will become effective early next year depending on how complex it is.
