The Department of Health Services delivered a proposal to the Joint Finance Committee late Monday that would cut over $500 million in Medicaid funding to make up for a budget deficit in the state's health programs.
DHS said over 50,000 residents will lose their state health-care coverage if the Legislature and federal government fail to approve the plan by Dec. 31. The state's Medicaid health programs, which provide health-care coverage for low-income recipients, currently cover one out of every five residents.
DHS Secretary Dennis Smith said in a statement "the initiatives aim to preserve the core, safety-net functions of the program for low-income individuals" while balancing the budget.
The plan would make statutory changes to the original Medicaid reform proposal the DHS submitted in September. After receiving public feedback through town halls and online submissions, the DHS made revisions, including a discount on premiums families pay for private health insurance.
Two Assembly Democrats on the JFC, Rep. Tamara Grigsby, D-Milwaukee, and Rep. Cory Mason, D-Racine, called for an immediate hearing on the proposal, which they said in a joint statement would "dismantle affordable health care in Wisconsin."
"The Walker administration has made a very conscious choice to deny health care to tens of thousands of Wisconsin residents to pay for tax breaks to special interests and corporations," Mason said.
Bob Delaporte, spokesperson for state Sen. Alberta Darling, R-River Hills, said the JFC will not hold a hearing on the proposal until the Legislative Fiscal Bureau reviews the modifications. Delaporte expects the JFC will take up the proposal next week.
-Adam Wollner
