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Report: Calif. officials fear drop in federal healthcare funds
California officials are concerned that the federal government might scale back its share of the costs under President Obama's healthcare law.
According to a report in the Los Angeles Times, state officials fear that the Obama administration won't cover as much of the law's costs as initially planned.
California is a leader in implementing the Affordable Care Act. It was among the first states to establish its own insurance exchange — a new marketplace where individuals and small businesses will be able to buy private insurance.
"As the guardian of the public purse here, I have to watch very closely what may come out of Washington," Gov. Jerry Brown said, according to the Times. "So we're going to move carefully. We want to make sure the federal government is on board."
California is expecting a massive surge in its Medicaid rolls, in part from people who are already eligible, even without the program's expansion under the ACA, but aren't enrolled. The so-called "woodworking" effect is a major concern for state Medicaid programs nationwide, even those that aren't participating in the federally funded Medicaid expansion.
