President Obama Releases New Health Care Reform Proposal

President Obama’s health care proposal released by the White House on February 22, will expand Medicaid eligibility for working families below 133% of poverty. This is the income level contained in the Senate bill, below the 150% of the federal poverty level in the House passed health reform bill.

The federal government will provide to the states 100% of the cost of newly eligible persons between 2014 and 2017. The states’ match rate will be 95% for 2018 and 2019 and drop to 90% for subsequent years.

The President proposes to treat all states the same, eliminating the special funding deal for Nebraska but also not recognizing those states that have already significantly expanded Medicaid eligibility.

Summaries of the major provisions of the President’s proposal are posted online. A chart comparing the already passed House and Senate bills to the President’s proposal is also available.