Gov. Jan Brewer signed legislation Friday setting the stage to roll back eligibility standards for the Arizona Health Care Cost Containment System.
Brewer said only by eliminating 280,000 people from the program can the state balance its budget. She figures the change will save the state about $540 million this coming fiscal year.
But Brewer conceded there is no Plan B if the Obama administration denies her request for a waiver from provisions of the last year's federal health care law which precludes states from scaling back their programs.
In fact, the budget she proposed is built on the waiver coming through by Oct. 1. But there is no wiggle room built into the spending plan if there is no answer from Washington by then.
"I'm optimistic,'' she said. "We've got to give it a shot.''
Brewer also said she will meet with Kathleen Sebelius, the Secretary of Health and Human Services, in several weeks.
"At that point in time I hope that something has been moved in some direction,'' she said.
The governor said that if an outright waiver of the "maintenance of effort'' requirement is not granted, she would ask for at least some "flexibility'' in how Arizona runs its Medicaid program.
"We cannot afford to pick up the tab for the federal government,'' Brewer said, saying she wants to "free Arizona from these federal fiscal handcuffs.''
The situation is particularly acute in Arizona, she said, because Arizona's Medicaid program provides care to a greater portion of its population than most other states. That is the result of a 2000 voter-approved initiative requiring the state to cover everyone below the federal poverty level, currently about $18,300 a year for a family of three.
The cutoff figure in most states is only about a third of that. And there is no obligation under Medicaid, which pays about two thirds of the total cost, to provide care at all to childless adults.
Brewer's budget already proposes sharp cuts in state aid for higher education, one of the largest areas outside of AHCCCS in the budget. And there are no plans to trim spending at the state Department of Corrections.
That leaves only one other significant expenses: state aid to public schools. The governor's budget proposes a slight overall increase, though not as much as otherwise would be required to fully compensate for inflation. And there also is no money for maintenance and repair.
Brewer said, though, she considers this money sacrosanct, even if Washington denies the waiver request.
"I will never sign a budget that cuts money to Arizona schoolchildren to fund the federal Medicaid mandates,'' she said, "not today, not tomorrow, not ever.''
Democrats who opposed the legislation said it is illegal to scale back AHCCCS eligibility to pre-2000 levels. They cite a constitutional provision forbidding legislators from altering anything mandated by voters.
The governor, however, said she reads that mandate to say the state is required to cover more than the basics only to the extent there are "available funds.'' She said Arizona's current budget situation means there is no extra cash.
IceCat posted at 6:59 pm on Sat, Jan 22, 2011.
[sad] Leon are you making up facts? The official results from the 2010 election shows that Gov. Brewer received 54% of the vote, not the 65% that you claim.
BREWER. JAN - R
938,931 54%
GODDARD, TERRY - D
733,933 42%
rrffcc1 posted at 8:25 am on Sat, Jan 22, 2011.
Soricobob, you're thinking about this as if the Gov & Company are acting honestly. I stopped expecting that from politicians a long time ago. THIS group is just a little more crude and inexperienced than most. Usually, when a politician picks your pocket you don't feel it. Usually, when you buy them they STAY bought.
The paying adults will rein them in eventually, to a level where the larceny is only at a mild roar for a longer time.
soricobob posted at 5:20 am on Sat, Jan 22, 2011.
If the Governor is basing her proposed budget on the potential of Federal cuts, and if the Feds do not allow it, and she has no backup plan, then who's next? The money has to come from somewhere, and to pretend it's the Feds fault, and to not prepare for the other shoe to drop is terribly wrong. The Governor should be discussing options at town meetings, so we all can input what we would suggest.
rrjenn posted at 4:33 pm on Fri, Jan 21, 2011.
Well stated Leon. If these dumborats would just allow us to throw the illegals out then everyone would get a job and the cuts wouldn't be needed. But then you know those rats never tire of spending others money on socialistic boondoggles.
Leon Ceniceros posted at 2:29 pm on Fri, Jan 21, 2011.
If anybody wants to help the needy....no one is stopping you. But the 65% of the Arizona voters that elected Governor Jan Brewer realize one of the largest recessions in modern history forces her to make tough choices. She can either cut AHCCCS "adults" off the Medicaid rolls because the earn less that $22,000 or she can leave them on and end up cutting "children" from the AHCCCS rolls. WWJCHD.
If you "tax and spend" Democrats want ....SOCIALISED MEDICINE...move to Cuba. Free medical care, free dental care, free vision care, free hospitalization...every body earns $2 an hour so there is no Income Tax because no one has an ....INCOME............LOL.
Accuracy posted at 1:59 pm on Fri, Jan 21, 2011.
As a first such request by a state . . . Maybe Arizona Gov. Jan Brewer will next sign a bill to remove nearly 300,000 illegal aliens from a wide range of services that are available in Arizona for illegal immigrants; including health care that is available to undocumented immigrants. “Illegal immigration costs us all dearly” and the services (including health care and education for children and in-state college tuition rates) is a big part of state budget cost.
percivale posted at 1:34 pm on Fri, Jan 21, 2011.
Oh yes; I did not proof read and i see some errors in my writing
Sorry about that !!
percivale posted at 1:25 pm on Fri, Jan 21, 2011.
Hello Arizona !! Capital of the Death panel The republicans say that Obama was that person and it turn out the republicans are the truth Death panels manager but on sundays they go to church ,Idiots .
An yes some people will accused me of being lefty , socialist , communist etc and not Iam not of that just an AMERICAN that see unfairness toward the needed in Arizona