2006 Session

Budget Amendments - HB30 (Member Request)

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Chief Patron: Morgan
Medicaid Buy-In Program

Item 302 #6h

Item 302 #6h

First Year - FY2007 Second Year - FY2008
Health And Human Resources
Medical Assistance Services, Department of FY2007 $82,350 FY2008 $59,850 GF
FY2007 $82,350 FY2008 $59,850 NGF
FY2007 2.00 FY2008 2.00 FTE

Page 258, line 32, strike "$4,989,007,434" and insert "$4,989,172,134".
Page 258, line 32, strike "$5,325,426,176" and insert "$5,325,545,876".
Page 266, after line 6, insert:
"X.  The Department of Medical Assistance Services shall amend the State Plan for Medical Assistance Services to implement a Medicaid Buy-in Program within the limits of this appropriation.  The program shall be designed to include cost sharing provisions.  The agency shall promulgate emergency regulations to become effective within 280 days or less from the enactment of this act."
Page 266, strike lines 7 through 14.

(This amendment provides funding for systems development and staff in the Department of Medical Assistance Services to implement a Medicaid Buy-in Program. The program would extend Medicaid coverage to persons with disabilities who go to work. For individuals with disabilities receiving Medicaid, the fear of losing health care and related services is one of the barriers keeping such individuals from maximizing their employment, earnings potential and independence. Often persons with significant disabilities cannot obtain private sector health insurance that provides coverage of the services and supports that enable them to live independently and enter, remain in or rejoin the workforce. Consequently, they rely on Medicaid for coverage of such necessary services such as personal assistance, prescription drugs, and durable medical equipment. The U.S. Congress concluded that eliminating barriers to health care and other needed supports and creating financial incentives to work can greatly improve short and long-term financial independence and financial well-being of individuals with disabilities. The Medicaid Buy-In option in the Balanced Budget Act of 1997 provides states with the opportunity to develop work incentive initiatives that encourage people with disabilities to work or increase their level of work. Language is added to direct the Department of Medical Assistance Services to design the Medicaid Buy-in Program within the limits of the appropriations and to include cost sharing provisions. Funding would allow individuals already enrolled in Medicaid who are disabled to pursue work opportunities and keep their Medicaid coverage. Consequently, no additional funding is needed for their medical services since these costs are already included in the Medicaid budget. Funding in this amendment is for systems changes and staffing to design and implement the new program. Language contained in the introduced budget is stricken which would have required the department to re-submit a Medicaid Buy-in Program Research and Demonstration Waiver to the federal Centers for Medicare and Medicaid (CMS). CMS has already rejected this approach by Virginia, since 32 other states already implement a Medicaid Buy-in Program and previous research has demonstrated the value of this type of program. This is a recommendation of the Virginia Disabilities Commission.)