Arizona Gov. Jan Brewer has asked CMS for approval to freeze AHCCCS enrollment for childless adults and parents earning above 75 percent of the federal poverty level. The cuts are part of a larger plan to reduce AHCCCS costs and help close a budget deficit.
The suit will argue that the cuts violate the state’s protections for voter-approved laws, according to the report.
In 2000, voters approved the expansion of AHCCCS to cover childless adults through a ballot measure stating the state must use tobacco settlement proceeds or “any other available sources” of funds to pay for the expansion, according to the report. Childless adults aren’t typically covered by Medicaid programs in other states.
The suit is expected to argue that discretionary spending in the state’s budget means other funds are available to fund the expansion, while the state will argue it can no longer afford to fund the expansion.
Read the Bloomberg Businessweek report on the Arizona Health Care Cost Containment System.
Read more coverage on the Arizona Health Care Cost Containment System:
– Arizona to Cut Medicare Rolls, Reduce Payments by 5%
– Proposed Arizona Budget Scales Back Medicaid Cuts, But Doesn’t Include Hospital Tax
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