Politics & Government

Michigan Senate Passes Medicaid Expansion Bill

The bill will provide health care for 470,000 additional low-income Michigan residents.

LANSING — After hours of political debate, the state Senate approved a plan late Tuesday to expand Medicaid health care coverage to 470,000 low-income Michigan residents.

The Senate's 20-18 vote makes Michigan the 25th state in the country to move forward with Medicaid expansion as part of the federal government's Affordable Care Act. Eight Republican senators joined with all 12 Democrats, including Sen. Tory Rocca, who represents Utica, to support the expansion. Sen. Jack Brandenburg, a Republican who represents Shelby Township, voted 'no.'

"The Senate should be commended for approving the Healthy Michigan plan, which will make a difference in the lives of nearly half a million Michiganders along with saving tax dollars and boosting our economy," Gov. Rick Snyder said in a written statement following the vote.

The Medicaid expansion extends benefits to people who fall within 133 percent of the federal poverty level. Benefits will be fully compensated by the federal government through 2017. The federal contribution would drop to 90 percent by 2020.

The bill requires recipients to contribute 5 percent of their out-of-pocket medical costs. After 48 months, the co-pay would increase to 7 percent or the recipient could purchase insurance on the health care exchange. If a person is determined to be “medically frail” — defined as having a chronic disease, mental illness or are unable to complete the daily tasks of life — they would remain at the 5 percent co-pay.

"The Healthy Michigan plan emphasizes personal responsibility. Those covered by the plan will be required to share in the costs through premiums. There also will be incentives for them to take responsibility for their lifestyle choices and to maintain or improve their health," Snyder said.

Michigan AFL-CIO President Karla Swift thanked the Senate for passing the bill on Tuesday.

"Medicaid expansion is a victory for over 400,000 of Michigan’s most vulnerable families, but the way in which it was passed was plagued with political gamesmanship and months of delays. Today’s vote made it clear that the Tea Party controls some Lansing politicians," she said. "While they were busy playing games and negotiating back room deals, the lives of children, veterans, and the working poor were on the line. We urge our representatives in the House to pass the revised bill as soon as possible. Every second counts in the lives of Michigan’s most vulnerable citizens."

Some Michigan residents, however, said the vote was "too little, too late."

“Only after facing overwhelming pressure from the majority of the public that elected them to do the right thing have Senate Republicans finally acted – and even then, this bogus vote is too little, too late,” said Marcia Bridges, a homecare worker in Eastpointe. “Refusing to vote on this lifesaving bipartisan plan in the first place has put Michiganders – including children and people with disabilities – at risk. Now, Speaker Jase Bolger, his Republican House colleagues and Gov. Rick Snyder are on the clock to get this done without anymore delays that put people’s health and lives at risk.”

The state House of Representatives approved a healthcare expansion plan in June. It is not expected to vote on the Senate's plan until after Labor Day. Because waivers requested by Michigan are expected to take up to 120 days for approval by the federal Centers for Medicare and Medicaid Services, Michigan will miss the Jan. 1, 2014 implementation date. The delay could cost taxpayers $7 million a day in lost funding because the federal money would be sent to other states.

“The Senate Republicans dragged their feet long enough and they must be held accountable,” said Joanne McKenziea homecare worker from Grand Rapids. “This vote is about one simple idea: reducing suffering and saving lives. Instead, they allowed themselves to be held hostage to the Tea Party and a small but vocal minority of extremists who put politics before people.”


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