Gov. Branstad opposes Medicaid expansion

by Charlie Wishman

Well, after over 9 months of excruciating, grueling hard work, Governor Branstad finally gave us his very best ideas for health care reform in Iowa. Let’s see how he did, compared to the easy to understand and implement 100% federally paid for Medicaid Expansion.

Well, first off, this isn’t considered a so-called entitlement. In other words, just because you fit the guidelines for coverage, there is no guarantee someone would get in the program. With a Medicaid expansion, a person would. With this, if the Iowa General Assembly didn’t appropriate enough money for the program – too bad!

Also, a little gem in the bill also says that if you have employer-based coverage, and DHS deems it more cost effective (cheaper) to pay for that than this program, then I hope you like what you have because you’re staying on it. This plan only covers people up to 100% of the Federal Poverty Level, so odds are if you have employer based health care, it’s probably not so great. Even though this program may provide more benefits, they’ll just pay the premium for your lousy plan instead even though you’re eligible.

And guess what else? The entire program can be contracted out, rather than having our state employees administer the program.

But how does it work you ask? Well, it’s a tired old idea called “health savings accounts.” Basically you pay into a savings account, along with the state of Iowa. Then, you can use that money to go buy health care services at certain providers that have the Terry Branstad seal of approval, until it runs out. After all, the Governor doesn’t want people to use too much health care. And, if you’re a good little patient and do what he asks you to do, you can use any leftover money in your health savings account to pay for your share of the program next year. What a deal!

But what if you miss a payment? You’re out of the system – for a year.

Well, if the Federal Government was going to pay for 100% of Medicaid funding, how will the Governor pay for this you ask? Your county’s property tax money, of course. Oh, and $23 million in state funds too. Yes, you read that right, you’re paying for it twice. And, he really, really, hopes the Federal Government will think this is a good idea and kick in money too.

Needless to say, the Iowa Federation of Labor does not support this, and will let you know about opportunities to make your voice heard on this issue. In fact, take a minute right now to contact your legislators today to let them know this is unacceptable.

Charlie Wishman
Iowa Federation of Labor, Secretary-Treasurer

[Note from BFIA:  Click here to contact your state representatives]