Statewide, Iowa (RI) – A report from a private, independent research firm devoted to healthcare issues details what will happen in Iowa — and to Iowans — if Congress moves ahead with a plan to enact deep cuts to Medicaid.
Rachel Nuzum, senior vice president of policy at the Commonwealth Fund, says some U.S. House Republicans propose $880 billion dollars in cuts to Medicaid, which is the nation’s public health insurance program for low-income residents.
In addition, about one in every two Iowa nursing home residents is covered by Medicaid. If Congress follows through with the cuts, the organization predicts it could result in nearly 900,000 lost jobs nationwide and a $95 billion dollar drop in state gross domestic products next year alone.
Under the current funding formula, the federal government pays 90 percent of Medicaid costs while states pay 10 percent, but Congress may decide to shake that up.
The State of Iowa has already asked the Trump Administration to approve a work requirement plan for some of the Iowa adults enrolled in Medicaid. Governor Kim Reynolds said it’s about “promoting a culture of work” among “able-bodied” adults under age of 65 who get government-paid insurance coverage.
The waiver request would require at least 100 hours of work per month. Nuzum says the changes being proposed would be challenging for some people to accept.
Medicaid is not just a health care program, she says, but a major economic engine in every state.
