July 19th, 2011

The Hill reports:

Efforts to fix a glitch in the healthcare reform law could backfire on thousands of people with disabilities, The Hill has learned.

Republicans and some Democrats want to change a part of the law that made 3 million middle-income people eligible for Medicaid. The law excludes Social Security income when determining eligibility for health insurance exchange subsidies or Medicaid, causing many middle-class people to become eligible for Medicaid starting in 2014.

Some lawmakers want to change the law to ensure that Medicaid remains a program for the poor, but several advocates say simply counting Social Security benefits as revenue would hurt people with disabilities. Some 1.8 million people receive Social Security disability benefits but aren’t eligible for Medicare, and the law in its current form would allow many of them to get onto Medicaid.

“I worry about a fix that could be painful to people who have major healthcare problems,” said Ron Pollack, executive director of Families USA. 

Rep. Diane Black (R-Tenn.) and Sen. Mike Enzi (R-Wyo.) introduced legislation changing the revenue definition on Monday, as did Sen. Ben Nelson (D-Neb.). 

The White House says it wants a fix that protects people with disabilities.

“We are examining this proposal and options to address this matter,” an administration official tells The Hill. “We remain committed to protecting the health of people with disabilities.”