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| Arkansas Medicaid Expansion |
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Summary:
Current Status of Medicaid Expansion in State:
State is exploring alternatives.
Decision Process:
Regular legislative process. Governor Beebe had announced his decision that Arkansas will participate in the expansion with the option of opting out if review of the expansion proved it was unsustainable, but when a new state legislature was voted in in November the path toward expansion became less certain. The state is now exploring alternatives in the middle ground.
Background:
Currently:
· 24% of Arkansas’s population is enrolled in Medicaid. 78% of beneficiaries have managed care. 100%-200% currently receive benefits depending on the specific program. Arkansas Department of Human Services runs the Arkansas Medicaid program.
Expansion:
· An expansion of Medicaid to 133% FPL would be a 28% increase in enrollment.
Process:
· Arkansas will participate in the expansion on a somewhat trial basis. Currently, the state is estimating and preparing to study costs and impacts of the expansion. If the state finds itself under economic strain as a result, it will consider opting out.
State Action:
- Arkansas Medicaid has conducted and released impact estimations for the expansion which state that Arkansas stands to save $350 billion by participating. Governor Beebe wanted the state participate with the option to opt-out should it later prove too difficult to manage financially. Instead, the state is now exploring an alternative option which would use federal fund to help those newly eligible for Medicaid under the expansion to purchase health insurance through the exchange. The state house has approved this option.
- The governor has been a vocal supporter of the ACA based on “economics, not politics.” He has pressed state legislators for a decision before the end of the 2013 legislative session so the state can move forward.
- In order to determine preliminary EHB benchmark plans, Arkansas worked with focus groups, but there was no public comment period or forum.
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