COLUMBUS, Ohio -- The state Controlling Board on Monday approved a spending request from Gov. John Kasich's administration that clears the way for the state to expand Medicaid to cover Ohio's working poor.

By a vote of 5-2, the board gave approval for the Department of Medicaid to tap into $2.5 billion the federal government has authorized for Ohio to cover the costs of expanding the Medicaid program for this fiscal year and next.

The approval followed more than two hours of questioning from members of the Controlling Board, particularly of the state's director of Medicaid, John McCarthy, and the director of the Office of Health Transformation, Greg Moody. The questions came before an overflow crowd in the Controlling Board's hearing room. Dozens more people filled chairs in the statehouse's atrium, where the proceedings were also broadcast.

The vote means that the state can start offering Medicaid health care insurance to people earning up to 138 percent of the federal poverty level beginning Jan. 1, 2014. The net change would be the addition of 275,000 uninsured Ohioans to the Medicaid program, McCarthy said.

The administration estimates that at least half of those people hold jobs that don’t provide health plans. About 26,000 are veterans.

The Patient Protection and Affordable Care Act commits the federal government to pay 100 percent of the costs of expansion for three years. That figure gradually reduces to 90 percent of the costs by 2020. Ohio would be in line to receive an estimated $13.5 billion over that time.

Kasich lobbied for Ohio to expand its Medicaid program since he unveiled his budget plans in early February and has repeatedly called on the General Assembly to authorize the expansion.

Thousands of Ohioans have echoed those calls. A poll in June found 63 percent supported expanding Medicaid to provide health care coverage to low income people. Among the groups that have called for it are the major hospitals and physician organizations, coalitions of churches, health care advocacy groups, labor unions and business organizations like the Ohio Chamber of Commerce.

But the governor’s fellow Republicans in the Legislature steadfastly refused to grant the expansion. Some have cited opposition to such a major expansion of a public support program. Others have cited concern about size of the national debt. General opposition to health care reform, commonly called Obamacare, also is a reason.

Ohio law requires that before money can be spent, it must be formally be appropriated. Typically that is done through a vote of the General Assembly. But the Controlling Board also has the authority to adjust appropriations as needed. In this case, it would involve authority to spend the newly received federal revenues.

And the administration said earlier this month that it had considered the Controlling Board as an option for getting expansion done. In its view, the approval from the Controlling Board represents legislative approval, since six of the seven members are legislators.

In a statement after the vote, Kasich reiterated that theme.

“Together with the General Assembly we’ve improved both the quality of care from Medicaid and its value for taxpayers. Today’s action takes another positive step in this mutual effort," he said. "I look forward to continuing our partnership with the General Assembly to build upon the progress we’ve already made to make Medicaid work better for Ohioans.”

Getting enough votes for passage did involve some maneuvering.

The board chair Randy Cole, a policy advisor for the Office of Budget and Management who represents OBM Director Tim Keen and the administration, voted "yes." He was joined by the board's two Democrats, Rep. Chris Redfern of Catawba Island and Sen. Tom Sawyer of Akron were "yes" votes.

The question leading into this week was where would the administration get its fourth vote.

Speculation around Capitol Square was that Republican Sen. Chris Widener of Springfield would provide it, but Widener was not commenting. But he sided with the administration Monday.

Republican Reps. Ron Amstutz of Wooster and Cliff Rosenberger of Clarksville appeared to both be "no" votes. But they were both removed from the Controlling Board Monday. House Speaker William G. Batchelder appointed Republican Reps. Ross McGregor of Springfield and Jeff McClain of Upper Sandusky to replace them on the board.

McGregor cast the fifth “yes” vote.

Joining McClain in voting "no" was Republican Sen. Bill Coley of Liberty Township in Butler County. He had said he was undecided, but noted that he was opposed to previous proposals.

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