Martinez unsure on Medicaid expansion

SANTA FE (KRQE) - Gov. Susana Martinez said she is undecided on whether she will decide to expand Medicaid health insurance coverage to poor people as called for in President Barack Obama's health care overhaul or if she will join other Republican governors in refusing to.

"It is going to be the administration at the end of the day that makes the final decision as to whether or not we are going to expand it and to what level," said Martinez.

The U.S. Supreme Court health care ruling last month said Washington cannot force states to expand Medicaid coverage to adults at 133 percent above the poverty line, or people who make less than $15,000 a year. In New Mexico, officials at the Human Services Department estimate that would make 170,000 more people eligible.

"That is an enormous number of folks," said Martinez. "We don't want to reduce the level of care to someone who is handicapped or disabled and can't work just to bring on a healthy adult and say we're now insuring this individual."

Martinez said many of those people who would be newly eligible may be healthy and covering them under Medicaid could mean cutting benefits for others.

The federal government would cover almost all of the expansion cost in the first few years. But HSD spokesman Matt Kennicott said the state could be on the hook for $350 million to $500 million through the year 2020.

Republican governors in Texas, Wisconsin, Florida, Louisiana and South Carolina have already said they will not expand their Medicaid coverage, according to media reports.

Martinez said she is not ready to go that far yet.

"We're going to find a way to pick and choose what is best for New Mexico based on its population and the needs of this population," said Martinez.

But many Democrats in the legislature claim a full expansion of Medicaid would bring a massive infusion of federal dollars and end up helping everyone.

"The more people that are insured on Medicaid, the less cost that all the other taxpayers in the state of New Mexico will incur because their insurance won't have to pay for all the uninsured," said Sen. Cisco McSorley, D-Albuquerque. "Right now, if you have insurance in the state of New Mexico, you're paying for the uninsured."

Martinez said she has no definite timetable for a decision. The national health insurance program is set to start in 2014.

The U.S. House voted Wednesday for the second time to repeal the health care law. Five Democrats joined Republicans in voting for the repeal.