Ruling nixes penalties for states that don't expand Medicaid, puts New Mexico in limbo

Santa Fe New Mexican - The U.S. Supreme Court decision upholding the federal health care law Thursday came with another surprise tucked inside: States suddenly can decide whether or not to expand Medicaid, a government low-income health insurance program. Medicaid has a major footprint in New Mexico. It covers one in four New Mexicans to the tune of just under $1 billion in state dollars, or 16 percent of the state budget. The federal government picks up most of New Mexico’s Medicaid tab, which totals $3.8 billion. But here’s the rub. Before Thursday, the federal law contained a provision punishing states that didn’t expand Medicaid, beginning in 2014. States not expanding the program faced the potential of losing all Medicaid funding from Washington. Thursday’s Supreme Court ruling stripped that punitive measure from the law, suddenly releasing states from that huge financial threat. Gov. Susana Martinez’s administration on Thursday was still digesting Thursday’s ruling and couldn’t say what it would decide to push for — a full-scale expansion of Medicaid, as called for under the law, or something else. Read More News New Mexico

Ruling nixes penalties for states that don't expand Medicaid, puts New Mexico in limbo