Master FIR (1988)

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F I S C A L I M P A C T R E P O R T

SPONSOR:	Aragon		DATE TYPED:	2-28-01		HB
SHORT TITLE:		Medicaid Coverage for Low-Income Adults				SB	SJM 55
					ANALYST:		Taylor

APPROPRIATION

Appropriation Contained

Estimated Additional Impact

Recurring

or Non-Rec

Fund

Affected

FY01

FY02

FY01

FY02

NFI

Duplicates/Relates to Appropriation in The General Appropriation Act SB 418; SB 479; SB 733; SB 911.

SOURCES OF INFORMATION

Health Policy Commission (HPC)

Human Services Department (HSD)

SUMMARY

Synopsis of Senate Joint Memorial

SJM 55 requests the Human Services Department to develop options for requesting a waiver to provide medicaid coverage for adults with income up to one-hundred percent of the federal poverty level. It requests the department to present the options to the Legislative Finance Committee and the Legislative Health and Human Services Committee by October 1, 2001, and before submission to the Health Care Financing Administration (HCFA).

The joint memorial notes that:

•It is state policy to ensure all New Mexicans have accessible, available and affordable basic health services regardless of socioeconomic status;
•New Mexico had the fifth highest unemployment rate in the country in 1999;
•New Mexico had more than 20 percent of its population living in poverty in 1999 compared to less than 12 percent nationally;
•New Mexico adults 19 to 64 years of age in 1999 had an uninsured rate of 29 percent compared to 17 percent nationally;
•the federal government provides flexible options for increasing health coverage through medicaid and matches state funds at a rate of three to one.

FISCAL IMPLICATIONS

SJM 55 has no direct fiscal implications. If the state is willing and able to provide expanded coverage to adults with incomes up to 100 percent of the federal poverty line, it will have to pick up its share of the costs.

ADMINISTRATIVE IMPLICATIONS

HSD writes that the October 1, 2001 date by which they are supposed to report to legislative committees may be unrealistic given other obligations to develop a managed care waiver and State Children's Health Insurance Program Waivers.

BT/njw