Work requirements proposed for some Indiana Medicaid recipients
Dec 27, 2024
INDIANAPOLIS — As lawmakers continue to grapple with Indiana’s nearly $1 billion Medicaid shortfall, one partial fix could come in the form of Medicaid work requirements.
”We need some guardrails to keep costs in line,” said State Rep. Hal Slager (R-Schererville), who introduced a bill earlier this month to reinstate those requirements.
If that bill passes next session, Hoosiers ages 19-64 would need to follow more stringent Medicaid work requirements to remain eligible.
”We have a Medicaid population of over two million, which means about a third of all Hoosiers are taking advantage of Medicaid,” Slager said. ”I want to see people independent of the government, not dependent on the government.”
The bill stipulates that Hoosiers would need to work, volunteer or participate in a work program at least 20 hours a week. Hoosiers could choose to combine those options to get to the required 20 hours so long as the FSSA approves their preferred work program.
The bill makes exceptions for some Hoosiers including pregnant women, people who care for young children or disabled loved ones and people deemed medically unfit for employment. Hoosiers who take part in a substance use disorder recovery/rehabilitation program are also exempt from needing to fulfill the proposed requirements.
”We certainly don’t want to deny benefits from someone who truly needs them,” Slager said.
Indiana House Democrats said if the bill passes, tens of thousands of Hoosiers could be at risk of losing coverage.
“It’s a very complicated process to get on Medicaid and actually stay on there when they have to go through the renewal process,” State Rep. Robin Shackleford (D-Indianapolis), a member of the House Public Health Committee, said.
In a statement, State Rep. Maureen Bauer (D-South Bend) expressed similar concerns, saying in part:
“…Indiana touts being a fiscally responsible state, but we still have no answers on the $1 billion Medicaid budgeting error. The proposed bill‘s cost-cutting measures to remedy this gross miscalculation are not worth risking Hoosier's health…”
”Our main primary cost driver when it comes to Medicaid is long-term care costs,” Shackleford said. “So, that’s not going to get down to the gist of what is causing us to have to pay so much for Medicaid.”
When exactly the House Public Health Committee will discuss this particular bill next year has yet to be released.