Thursday, 15 November 2007
Maryland State Senate Approves Healthcare Expansion
Maryland Governor Martin O’Malley introduced a bill to the state Senate floor that would expand state sponsored health plans to help cover uninsured residents. The Senate passed the measure in a vote of 30 to 17 last week, reported the Baltimore Sun.
Under the new bill, more adults will be eligible for Medicaid. Families earning up to 116 percent of the federal poverty level — $ 22,446 for a family of four and $11,101 for individuals — will qualify for Medicaid. The Sun wrote the expansion can put as many as 70,000 additional adults on Medicaid.
The bill will also provide $1,000 a year for small businesses who do not provide insurance and $1,000 for each employee to help them pay for coverage. To receive these subsidies, small businesses will be required to offer wellness programs.
In total, the healthcare expansion will cost the state $850 million, and they’ll get an extra $600 million from the federal government. But state legislators are worried they would stretch the state’s budget too thin. Next fiscal year, Maryland is facing a $1.7 billion deficit.
The General Assembly has considered raising taxes, cutting spending, and legalizing slot machines to offset the deficit.
“As hard as it is to vote for a tax because I know its effects, I can’t think of a more worthy expansion. [Healthcare expansion is] a moral obligation.” said state Senator and chairman of the Senate Finance Committee, Thomas M. Middleton.
The bill will now go to the state House of Delegates for approval.
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