Feds: Proposed Indiana Medicaid expansion premature

Back to TopCommentsE-mailPrintBookmark and Share

Federal officials on Friday denied Indiana's request to use a state public health savings account to help cover the half-million people who will become eligible for Medicaid in 2014, saying the request was premature and leaving the state program's future in flux.

The Centers for Medicare and Medicaid Services sent a letter to the state's Medicaid office denying its request to expand the Healthy Indiana Plan as part of the national health care overhaul. The plan, known as HIP, currently helps cover medical costs for about 41,000 low-income adults in Indiana.

"It's premature," Medicaid director Cindy Mann told The Associated Press. "We're not saying one way or the other what the future of HIP is in 2014."

As many as 500,000 Hoosiers are expected to become newly eligible for coverage in 2014, as the federal health care overhaul is phased in, and the state wanted to know whether it could use HIP to cover them. The state runs HIP under a Medicaid waiver that is set to expire at the end of 2012, and the program's future within the federal overhaul has been uncertain.

"We asked for a clarification but they're not able to offer one because the federal government hasn't even put their own rules together yet," said Neal Moore, spokesman for the Indiana Family and Social Services Administration, which oversees Medicaid in the state.

He called the letter a "non-decision" and said the state needs clarity so it can plan for the changes set to take effect 2014.

Mann said federal Medicaid officials were still developing rules to govern the 2014 changes. She said it was too early to tell how HIP might fit in, but said "it's definitely not killing HIP."

"There's still a regulatory public process that has to go on to flesh out what the rules are," she said.

Mann said the state could seek an extension of the waiver to allow HIP to continue.

The state plans to do just that, said Gov. Mitch Daniels's spokeswoman, Jane Jankowski. She said Indiana had been seeking clarification on the future of HIP since last year, but has been met with confusion from the federal government.

Jankowski said the state wanted to try to start planning for the changes coming in 2014 under the health care overhaul.

"It's difficult for states to meet guidelines for health care reform when there aren't any," she said.

HIP, which Daniels touted as a success in his new book, "Keeping the Republic," provides about 41,000 enrollees up to $500 in free preventive care such as cancer screenings and a $1,100 medical savings account. When medical costs exceed that limit, benefits of at least $300,000 are provided.

Enrollees make monthly contributions based on their ability to pay, but many pay nothing because they earn too little. State officials say they are working on expanding the program to another 8,000 people.

"HIP is a really great program and we want to be able to extend it to as many people as we can," Moore said. "We just need to know what's happening."


Post a comment to this story

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
Subscribe to IBJ
  1. Paul (2014-04-14 17:53:08) My name is Mr Paul Ferdinand, i am from Chicago USA, married, i have been searching for a genuine loan company for the past 3 months and all i got was bunch of scams who made me to trust them and at the end of the day, they took my money without giving anything in return, all my hope was lost, i got confused and frustrated,i find it very difficult to feed my family, i never wanted to have anything to do with loan companies on net, so went to borrow some money from a friend, i told him all that happened and he said he can help me, that he knows a loan company that can help me, that he just got a loan from them, he directed me on how to apply for the loan, i did as he told me, i applied, i never believed but i tried and to my greatest surprise i got the loan within 24 hours, i could not believe, i am happy and rich again and i am thanking God that such loan companies like this still exist upon this scams all over the places, please i advise everyone out there who are in need of loan to go to richardstrustfunds@gmail.com they will never fail, your life shall change as mine did.

  2. What became of this project? Anyone know?

  3. Scott, could you post an enlarged photo of the exterior of the building? This will be a great addition to Walnut Street. This area will only continue to develop with additions like this. Also, please give us more updates on the "Cultural Trail light" expansion. Also a great move for the city, as long as there is maintenance money set aside.

  4. Great story IBJ! Citizens don't have a real sense of the financial magnitude of supporting Indy's sports and tourism sector. The CIB was a brilliant idea for creating a highly integrated public-private partnership to support this sector from the economic activity it generates. Unfortunately, most folks think the benefits of that economic activity accrue directly to the City budget, and it doesn't. So though the CIB is facing lean times (covering its costs while maintaining minimally acceptable reserves), the City is operating with deficit - less tax revenue than expenses each year - with a very fragile reserve balance. That's why it's so challenging for the City to fund basic needs or new intitatives (e.g. pre-k education; new jail), and some credit rating agencies have downgraded Indy from it's past stellar AAA status. More reporting on City finances would be welcomed.

  5. Sure, I'll admit that it bugs me to see that the IBJ.COM censors it's blog posts almost as much as the D of I does when someone points out the falsehoods and fabrications. _____But I think it bothers me almost as much that Captain/Defender/Disciple get his yanked too. You see, those of us with a sense of integrity, humanity, compassion, and a need for fact based opinion WANT to see all of his screeds posted. It makes our point so much better than we can do it ourselves.