While upholding much of President Barack Obama’s health-care overhaul, the U.S. Supreme Court tossed out a requirement that states expand their Medicaid programs, throwing into limbo whether hundreds of thousands of Ohioans will gain coverage.
Gov. John Kasich’s administration yesterday stopped short of ruling out an expansion of the tax-funded health program, but officials said the long-term cost of providing care to as many as 800,000 more poor and uninsured Ohioans is a concern.
The Republican administration also likely will punt on creating a state health exchange — a requirement of the 2010 law upheld by the high court — in which consumers and small businesses can compare and shop for coverage starting in 2014, when most Americans will be required to purchase insurance or pay a fine.
Instead, state officials said, the federal government can set up an exchange for Ohio, the alternative given to states under the law.
“At this point, the governor and I agree that we do not see how running a state-based exchange is good for Ohio and Ohioans,” Lt. Gov. Mary Taylor said in a conference call.
“We believe the court went the wrong way,” Taylor said. “We believe … the best solution is for Congress to repeal Obamacare. Our hope is that a White House and a new Congress will ultimately achieve that next year.”
Taylor, who heads the state Department of Insurance, has long resisted setting up an exchange and at one point returned a $1 million federal grant to create one. She has charged the Obama administration with not providing sufficient guidance to states and yesterday said that allowing the federal government to put an exchange in place is a slightly better option than having Ohio create its own.
States have until Nov. 16 to notify federal regulators if they will build their own exchange. Only 14 states and the District of Columbia have authorized creation of exchanges, while others delayed action pending the court’s decision. The National Association of Insurance Commissioners expects only about half the states to be ready to set up new health-insurance markets, slated to open on Jan. 1, 2014.
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