A new
analysis by the Urban Institute finds that per capita caps on federal
Medicaid spending under the American Health Care Act (AHCA) would reduce
federal Medicaid funding to states by $457 billion or 9.8% from 2019 through
2028. If the bill passes, Connecticut stands to lose $7 billion or 10.9% of
federal Medicaid funds. To fully offset the loss of federal funds, Connecticut
would have to increase our state Medicaid budget by 13.6%. The state is now
facing a $1.7 billion deficit for next year, under current law with the ACA
intact. The authors project that use of the AHCA’s proposed trend factor will
disadvantage children and adult Medicaid categories most. The analysis models
the impact of the AHCA as originally proposed. The bill is being negotiated in
the House as of this writing.
