The Trump administration threatens states on coverage of Medicaid for undocumented immigrants

The Trump administration threatens to arrest federal funding for Medicaid in states which, according to him, illegally use the Insurance Program to cover health care for undocumented immigrants.

Under the federal law, states are not authorized to illegally use Federal Medicaid funds for emergency medical services for the inhabitants of the country. But “some states have pushed the limits,” the CMS said in a press release on Tuesday, announcing that regulators would increase surveillance in the region.

This includes an increased evaluation of the quarterly medical spending reports of the States Medicaid, by examining the financial management systems of the States and seeking means to fill the gaps in the eligibility rules for existing Medicaid, said the CMS.

The agency has also urged states to update their internal controls, eligibility systems and their cost distribution policies to ensure that Medicaid funds are used only for citizens.

“Any inappropriate expenditure on non-citizen will be subject to recovery from the federal part, “said the CMS.

The Trump administration’s announcement is a warning in the bow for a handful of states that have used Medicaid funds to take care of undocumented immigrants.

Currently, 14 states and Washington, DC cover children regardless of their immigration status. Seven of these more CC states cover at least some adults, regardless of their immigration status.

These programs are not funded by Federal Medicaid dollars. So, we do not know precisely what problem the Trump administration is trying to solve.

The CMS can refer to a Final Funding Failure which allows states to write more federal funding by taxing providers. Critics argue that the accounting maneuver unfairly inflates Washington Medicaid expenses to the detriment of federal taxpayers.

In a rule proposed by the CMS earlier this month to restrict the taxes of providers, regulators have declared that the prevention of agreements is necessary to prevent states from spending an increase in federal dollars in provision for illegal immigrants.

“Some states have exploited these tax gaps to take money from federal taxpayers, then simultaneously spent on” state “money for new advantages for illegal immigrants,” the CMS said in a rule information sheet.

Potentially revoking federal dollars is a serious threat. Medicaid is financed jointly by the States and the federal government, but the federal government assumes a large part of the expenses – more than 50% in all areas, but more than 80% for certain poor states.

“Medicaid is not and cannot be so, a stolen door to subsidize open borders,” the CMS administrator, Mehmet Oz said on Tuesday. “States have the duty to respect the law and protect taxpayers’ funds. We put them in opinion – CMS will not allow federal dollars to be diverted to cover those who are not legally eligible. ”

The effort follows a decree that President of President Donald Trump signed in February called “the end of the subsidy of taxpayers from open borders” intended to repress immigrants in the country illegally to receive advantages funded by taxpayers. The ordinance ordered the federal agencies to examine their programs and ensure that non-citizens with an uncertain immigration status do not obtain public advantages.

The problem is complicated by the fact that immigrants without permanent legal status generally do not receive federal services – despite the payment of many government programs themselves.

It is part of a larger assault by the Trump administration against undocumented migrants, that the president blamed for having increased crime and public spending. The president is supported by many Republicans of Congress who are currently working to reduce Medicaid, invoking concerns about fraud, waste and abuse in the massive security net program – including undocumented immigrants.

Republicans say that the problem has worsened while Medicaid has developed considerably in recent years, partly due to policies intended to maintain insured people during the coronavirus pandemic. Currently, nearly 80 million Americans are covered by Medicaid and its sister program for children, compared to 71 million in 2019.

However, experts believe that real fraud and Medicaid waste are relatively low, and that the measures of inappropriate payments are more than the result of missing documentation, and not real proof of payment for inadmissible registered.

Democrats have accused Republicans of having used concerns as a smoke screen to reduce the advantages for poor Americans.

Thursday, the House Republicans adopted a tax and a policy megabill This would considerably reduce Medicaid by adopting new requirements for declaring work for beneficiaries, among other modifications to eligibility and financing.

The bills of the bill of the bill saved $ 700 billion in the government, but around 8 million people would not be ensured accordingly, according to estimates of the Congressional Budget Office, a non -partisan score guard.

The legislation would also restrict Medicaid for undocumented immigrants, in particular by reducing the financing of states which allow immigrants without proof of citizenship to be on security-net insurance. Other policies would prevent a large band of immigrants from joining Medicare or from receiving premium tax credits to buy ACA coverage.