National Health Reform and California The Estimated State Impacts and Costs for Medi-Cal and Healthy Families

An important element of the national health reform proposals is the role of public programs, including both Medicaid and CHIP. Governors of many states, facing difficult budgets, have raised questions about the impact on state budgets. This fact sheet estimates the number of Californians eligible and the number likely to be covered under different levels of enrollment (“take-up”) as well as the state budget impacts. It is first important to note timing: Medicaid doesn’t get expanded until 2013 or 2014, and for first 2 or 3 years the Medicaid expansion is 100% federally funded. It is only by 8 or 9th year and beyond that there are any costs to states, with an 82.3% (4-1) match in the Senate and a 91% (9-1) match in the House.