The radical Republican plan to gut Medicaid as we know it is alive and well in the state of Tennessee
his new plan would save Tennessee upwards of $1 billion and result in no loss of coverage; his administration has argued that the way Medicaid currently works, reimbursing the state after health care has been delivered, has led to “misaligned financial incentives.
Critics of block grants argue replacing Medicaid’s decades-old reimbursement model with an upfront cash system — a hobby horse of former Republican Speaker Paul Ryan, among many other modern Republicans — would lead to states slashing their spending on care for the most vulnerable members of society, including low-income pregnant women and children.
In July, a group of 27 nonpartisan health and poverty organizations including the American Cancer Society and the United Way WorldwideSeema Verma, head of the Centers for Medicare and Medicaid Services , to reject any plans to allow states to switch from the traditional Medicaid model to block grants.
Trump has repeatedly put block grants plans in his budgets, but those proposals have gone largely ignored by Congress’ own budgeting process. Now, however, the administration has its best chance yet to start to cut away at the social safety net — and to realize the party’s longtime campaign to gut one of the most consequential Democratic achievements of the past 50 years.
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