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Florida in Limbo on Federal Medicaid Extension

Florida continues to wait to see if Washington will extend additional Medicaid help into 2011 with a vote on the money, scheduled for Monday, delayed by a higher cost estimate.

A measure that the Senate had been set to vote on would have pushed $16.1 billion to the states to bolster Medicaid through the first half of 2011, extending relief put forth under the stimulus package.

While Democrats had thought they’d offset the entire cost of the package with reductions in food stamp benefits, Medicaid prescription drug coverage and other benefits, as well as tax loophole closures, a new Congressional Budget Office analysis on Monday said the measure wasn’t fully paid for. Some of the cuts didn’t save the amount earlier anticipated, forcing Democrats to postpone action on the bill.

Florida’s current year budget relies on the federal Medicaid extension for $230 million in new spending and $730 million earmarked for reserves which would have to be rebudgeted or cut, if the measure in Congress doesn’t go through.

The News Service of Florida

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