FEDERAL BUDGET CUTBACK

On February 1, 2006, the U.S. House of Representatives approved by a 216-214 vote a budget cutback bill that includes substantial cuts in Medicaid (including the changes reported in the January 2006 MGH Community News “Pending Medicaid Asset Transfer Restrictions”). The bill is still being analyzed, and the implications for Massachusetts are still unclear, but some of the provisions include:

1. options to allow states to increase Medicaid premiums and copayments
2. a requirement that citizens applying for Medicaid present a passport or birth certificate to demonstrate their citizenship
3. increases and much tighter restrictions in the look-back period for asset transfers when seeking long-term care
4. changes in welfare provisions that would impact work-requirements and penalize two-parent families,
5. reduce child-support enforcement
6. delay SSI payments
7. decreased foster-care payments

Please click here to see special supplement for details.

-Adapted from “Assessing The Effects Of The Budget Conference” from The Center on Budget and Policy Priorities, and “MassHealth Defense Meeting Tues., 2/7” e-mail from MassHealth Defense Group February 3, 2006.

02/06