Background & Federal Interface
Recent federal guidance provides that states like Arizona that already provide Medicaid coverage for Childless Adults up to 100% FPL, are not eligible for enhanced federal funding unless the State includes Medicaid coverage for individuals up to 133% FPL. For Arizona, that means covering people from 100-133% (representing 57,000 people) FPL on the AHCCCS program.
In light of this guidance, Governor Brewer was faced with two options: 1) Do nothing and let the authority to cover Childless Adults expire on January 1, 2014, leaving 300,000 Arizonans uninsured and with no access to health care coverage (Childless Adults up to 100% FPL are not eligible for subsidies under the Exchange); or 2) Restore coverage of Childless Adults up to 100% FPL cover adults from 100 to 133% FPL.
Governor Brewer conducted a thorough review of these options as well as the stakeholder feedback received from numerous meetings, including the AHCCCS public input process.
Additional Information Forthcoming
December 13, 2012
On December 10, 2012, CMS provided Governors with guidance and responses to questions regarding the Medicaid provisions within the Affordable Care Act. CMS provided Arizona with specific guidance on its request as proposed in Arizona’s Childless Adults Waiver (Childless Adults 0-100% FPL). CMS explained that request would not be eligible for enhanced federal funding. Thus, Arizona can only obtain enhanced federal funding for the coverage of Childless Adults if he State covers adults from 100-133% FPL in Medicaid. The CMS FAQ link below provides additional information, including clarification that states may opt in or out of Medicaid coverage for this new group at any time.