Kaiser Daily Health Policy Report Highlights News Coverage of State Medicaid-Related Developments

Main Category: Medicare / Medicaid / SCHIP
Article Date: 18 May 2005 - 0:00 PDT

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The following summarizes news coverage of developments regarding public health insurance and Medicaid in Colorado and Iowa.

• Colorado: Several bills that would expand health coverage are awaiting action by Gov. Bill Owens (R), the AP/Colorado Springs Gazette reports. Owens is expected to sign into law a bill (HB 1262) that would use revenue from an increase in cigarette taxes to raise income-eligibility levels to provide public health insurance to an additional 90,000 low-income families. The tax is expected to generate $172 million annually, and some of the money would be used to fund clinics that provide health care to the uninsured. Tobacco tax revenue also would be spent to provide home care and therapy for about 600 children with disabilities or chronic illnesses who currently are on a waiting list. The bill also would make available funds to provide Medicaid coverage to documented immigrants. Another bill (HB 1152) would create a program allowing the state to join with other states to purchase discounted prescription drugs. A family of four with an annual income lower than $58,000 would be eligible for the program and residents would be able to receive a 30% discount on drugs by paying no more than an annual $25 fee. Owens has not said whether he supports that bill. A separate bill (SB 102) would allow the state to join a drug purchasing pool for Medicaid beneficiaries and establish a drug formulary of the lowest-cost, most-effective medicines doctors can prescribe. However, mental health and heart medications would be exempt (Slevin, AP/Colorado Springs Gazette, 5/12).
  
  
• Iowa: Gov. Tom Vilsack (D) on Thursday signed a bill that establishes a pilot program to provide a "modified form of Medicaid" to about 30,000 state residents, the AP/Omaha World-Herald reports. The law will allow the state to use charity care money spent at University of Iowa Hospitals and Clinics and Broadlawns Medical Center to generate $120 million in federal matching funds. Under the program, the state also will be able to retain $60 million in Medicaid funds that would have been lost because of accounting changes. Residents who receive coverage under the law will have to pay a "modest" premium and will not receive full benefits, the AP/World-Herald reports. Vilsack said he is confident the program will be approved by HHS (AP/Omaha World-Herald, 5/13).

"Reprinted with permission from kaisernetwork.org kaisernetwork.org. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at http://www.kaisernetwork.org/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork.org, a free service of The Henry J. Kaiser Family Foundation . © 2005 Advisory Board Company and Kaiser Family Foundation. All rights reserved.

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