Pennsylvania has been given the opportunity to expand Medicaid to cover approximately half of its 1.3 million uninsured residents. The Affordable Care Act gives states the option of expanding Medicaid to families earning up to 133% of the federal poverty limit. The federal government would pay all of the costs of expansion until 2017; after it would drop down to 95% and then 90% permanently. If Pennsylvania expands the program in 2014, the state would receive an additional $3.5 billion in federal Medicaid funds. Once Medicaid expansion is fully implemented, every $1 Pennsylvania invests in the system is estimated to result in $13 from federal funds.

There are apparent economic benefits of Medicaid expansion in Pennsylvania. A study done by the Independent Fiscal Office, a neutral organization that provides revenue projections for use in the state budget process, found that Medicaid expansion will produce $430 million for the state budget between 2016-2021. Additionally, it would support and add thousands of jobs. The increased funding and jobs have the potential to dramatically increase economic activity in the state—by $5.1 billion in 2016. Lastly, with more Pennsylvanians insured, there will be less “uncompensated care costs” that the state, localities, and hospitals have to pay.

Originally, the Affordable Care Act required all states to expand Medicaid. However, the Supreme Court ruled last summer that each state can choose whether or not to expand. 26 states have already committed to expanding, some of them with republican governors like New Jersey, Arizona and Florida. Each of these governors realizes how foolish it would be to leave federal money on the table instead of using it to insure Americans.

Governor Corbett said during his budget address on February 5th that Pennsylvania would not be participating in Medicaid expansion. However, support from both sides of the aisle and several studies that have found numerous benefits of expansion have shifted Pennsylvania from a “no” state to a “question mark’” state.

Our governor has developed many faulty reasons for Pennsylvania to opt-out of Medicaid Expansion. Many of these excuses are not supported by any evidence, analysis, or study. None of them explain a better alternative that would provide coverage for the Pennsylvanians that would be left behind without expansion.

With the gubernatorial elections next year, it seems that Governor Corbett may be using Medicaid expansion as a bargaining tool. The health of Pennsylvanians should not be used as a means for political power. It would be absurd for the state to pass up the opportunity to insure more Pennsylvanians with little cost to the state.

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