Lawmakers raise doubt on LePage’s federal waivers for budget cuts
Democrats warn against rolling the dice on the backs of vulnerable
AUGUSTA – Lawmakers on the Maine Legislature’s Appropriations and Financial Affairs and Health and Human Services committees raised strong concerns today about the administration’s proposal to pursue federal waivers from the Affordable Care Act in order to make the proposed $220 million in budget cuts from the Department of Health and Human Services.
The LePage Administration would need to receive three unprecedented federal waivers from federal law to reduce or eliminate MaineCare services for certain populations as proposed by the governor’s budget cuts.
“To date, no state has received permission from the federal government to ignore the law under these circumstances,” said Rep. Peggy Rotundo, D-Lewiston, the lead House Democrat on the Appropriations and Financial Affairs Committee. “We can’t roll the dice on the backs of the elderly, the disabled, and veterans in our state.”
The governor’s proposal would reduce or eliminate MaineCare services for 65,000 Maine people, including the elderly, veterans, and the disabled, in order to fill a shortfall resulting from his administration’s planning errors and miscalculations. The administration would need to gain federal waivers to eliminate eligibility for 19 and 20 year olds under 150 percent of the federal poverty level; reduce eligibility for the Medicare Savings Program, which lowers the cost of prescription drugs for the elderly; and eliminate eligibility for parents under 133 percent of the federal poverty level.
“I am deeply concerned that the governor’s budget relies so heavily on similar proposals that have been struck down by the courts,” said Senator Dawn Hill, D-York, the Senate Democrat on the Appropriations Committee. “We are being asked to craft a budget based on an artificial premise.”
Republican and Democratic lawmakers raised the concerns during an extensive work session of the Appropriations and Health Human Services committees, where lawmakers began to dissect the analysis of the shortfall and the governor’s proposed cuts.
“The governor’s proposals are too risky and present a false choice,” said Rotundo. “We would like to take a more comprehensive approach with our Republican colleagues once we fully understand what the true cost drivers are and which of these costs will be ongoing versus one-time.”
Five percent of the MaineCare population is driving 55 percent of the costs, according to DHHS.
“A more reasonable solution would begin with better managing the cost of care for that small population that is costing the most,” said Rep. Mark Eves, D-North Berwick, the lead House Democrat on the Health and Human Services Committee. “We are starting to formulate a better diagnosis of the problem to get us to the right prescription.”
The Appropriations and Health and Human Services committees will meet for a work session on Jan. 3 before lawmakers return for the Second Session of the 125th Legislature, which begins on Jan. 4.