One health care "reform" idea being tossed around is Medicaid block grants. It appears Rep. Diane Black (R-TN) inquired to the CBO regarding how this might work. They responded, in part:
I understand from committee staff that there is interest in designing an option for a state to receive funding through a block grant with financial parameters comparable to the per-enrollee cap. The grant would be coupled with new flexibility, by which the federal government could cede more control to states for a range of program features. In CBO’s judgment, depending on the specifics of the proposal, such an option could be more attractive to some states than the AHCA’s per-enrollee cap, and its inclusion in the legislation would have budgetary effects relative to those under both current law and the AHCA.
The CBO also mentions that "The effects of various choices could interact in complicated ways."
Republican governors have advocated replacing Medicaid with a block grant program. Can you imagine the federal government giving the state of Tennessee billions of dollars for health care services with little or no oversight or regulation?
Also, can you imagine that Rep. Diane Black is chairman of the House Budget Committee?
Forbes: Opposition Mounts To Trump's Medicaid Block Grant Idea
(money quote: "The less you know about Medicaid, the more block grants make sense.")
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