Heritage Foundation report suggests state Medicaid percent match could exceed 10 percent in 2020

Posted on August 31, 2012 | No Comments

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In a new report released by the Heritage Foundation, author Drew Gonshorowski suggests that states could be responsible for more than the 10 percent Medicaid match currently called for by 2020 under the Affordable Care Act (ACA). According to the Heritage issue brief, states could face $3.4 billion in new costs if the match rate is reduced to a level that can be called the “blended rate.” This is an estimation of what the match rate could be under the Administration’s suggestion. The brief explains, “blended rate is an average of a state’s current Medicaid match, its enhanced match rate for the Children’s Health Insurance Program, and the expansion match rate. The result of this scheme is a drastic reduction in federal spending at the expense of the states.”

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