New Study: Medicaid Cuts Would Also Hamper Delivery System Innovation

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<p>The American Health Care Act, the repeal-and-replace bill pending a vote in the U.S. House of Representatives, not only eliminates federal funding for the Medicaid eligibility expansion, it also reduces the amount of funding states receive to run their traditional Medicaid programs.</p><p>A new Commonwealth Fund analysis by George Washington University’s Sara Rosenbaum and colleagues finds that these major funding reductions would not only eliminate insurance coverage for millions, they would also hinder the Affordable Care Act’s (ACA) efforts to transform Medicaid into a more efficient health care purchaser. Although not all states have expanded Medicaid eligibility, virtually all have embraced Medicaid accountable care organizations, adopted comprehensive managed care programs or health homes, or introduced some type of payment reform.</p>
<p>Rosenbaum says that, far from improving Medicaid quality and efficiency, the House legislation “would cause the number of uninsured to rise while depriving health care providers and health plans of the resources needed to care for patients and invest in health system transformation.”</p> Read the brief