Medicaid expansion in Arkansas got the backing of the state's new Republican governor but still needs super-majorities in the state's House and Senate to survive. Legislative leaders indicate Gov. Asa Hutchinson will get his way.
On Thursday, Hutchinson asked the Legislature to maintain the state's approach to Medicaid expansion through 2016, so that roughly 200,000 low-income residents won't lose their access to insurance coverage. Under a CMS waiver, the state helps eligible residents buy private plans on the state's insurance exchange. Arkansas was the first state to adopt the so-called private option, which was backed by Hutchinson's Democratic predecessor but also has become popular in Republican-led states.
Hutchinson noted, however, that even the phrase “private option” had become politically toxic in the state capitol of Little Rock, and he asked for a legislative task force to study different ways to help residents get coverage if they can't afford insurance.
But it was unclear at the time of the governor's news conference if lawmakers would go along with him. Legislative leaders reached by Modern Healthcare suggested they will. They expect to take up a bill soon.
“The governor communicated a strong and good message that's been well-received,” said Rep. Charlie Collins, the Republican chairman for the state House's Insurance and Commerce committee.
The legislature must reauthorize the program every year with support from at least 75% of the state's House and Senate members.
Last year, it took the Arkansas House five votes to reauthorize funding before finally securing a 76-24 vote in early March. The Senate passed it more quickly with a 27-8 vote. And since then, some key supporters of the Medicaid expansion model left office, raising doubts that the Legislature would fund it again.
“I think he has substantial support, but I couldn't give you a vote count,” said state Republican Rep. Brent Stevenson, who runs a namesake lobbying and government affairs firm in Fayetteville. “Seventy-five percent is a high bar, regardless if you're Republican or Democrat.”
Kelley Linck, Republican chairman of the state House's Public Health, Welfare and Labor committee, said he believes the private option will conclude at the end of 2016, and he is optimistic that the new legislative task force will come up with a replacement plan that will win the support of conservatives. Until then, Linck said, “We can't drop 200,000 people into infinity with nothing else to reply upon.”
Support for Hutchinson's plan is also strong in the state Senate, according to Republican Jonathan Dismang, President Pro Tempore of the Senate.
Sen. Jason Rapert, Republican chairman of the state Senate's Insurance & Commerce committee, said his colleagues are confident that Hutchinson will ultimately pursue a more conservative direction on healthcare.” I think the governor made the best decision he could for the state,” he said.
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