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Branstad keeps focus on IowaCare, not Medicaid

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March 3rd, 2013 by Ric Hanson

DES MOINES, Iowa (AP) – Gov. Terry Branstad is expected to soon reveal his plans for revamping the IowaCare health program for low-income adults, sticking to an approach he holds is better for the state than the Medicaid expansion Democrats are clamoring for.  IowaCare was designed to provide limited health benefits to low-income adults who don’t qualify for Medicaid. But the program, which now has about 70,000 enrollees, offers very limited services.

If Branstad agreed to expand Medicaid, the federal government would pay the full cost of the expansion for the first three years, then 10 percent of the cost would gradually be shifted to the state.  But Branstad says he’s not convinced the federal government will keep its promise to pay most costs.