The Biden government was slapped with a lawsuit on Friday after Texas Attorney General Ken Paxton launched a suit countering modifications to the nation's federally funded part of Medicaid previous month.
In April, the government rescinded a Trump-era eight-year extension to provide billions of dollars in federal funds annually for Texas' uninsured residents, which was set to expire next year.
While the move does not revoke healthcare funding through 2022, Paxton called it an"unlawful misuse of power aimed at sovereign states."
"The Biden Administration can't merely breach a contract and topple Texas's Medicaid system without warning," he said in a Friday announcement .
Texas has held a waiver agreement with the U.S. Centers for Medicare and Medicaid Services since 2011, which reimburses hospitals to the"uncompensated care" provided to uninsured people together with advanced medical care projects.
Paxton claimed the move was a political strategy to force states like Texas to expand their Medicaid program under the federal healthcare program.
"Does this violate bureau regulations and threaten to rip a $30 billion hole in Texas's budget, it was certainly intended to induce our nation into inefficiently expanding Medicaid beneath the Patient Protection and Affordable Care Act (ACA)," that the Texas attorney general said. "This would be a tragedy for our state, and yet President Biden seems intent on thrusting his bloated version of government on everybody --including Texas."
Biden pushed billions of dollars in national incentives earlier this year to promote Texas lawmakers to join 38 other nations and enlarge their Medicaid.
The waiver was initially meant to serve as a bridge to help states manage expanding their Medicaid programs under the Affordable Care Act, or"Obamacare." However in 2012, the Supreme Court ruled the ACA could not require states to expand their programs.
Texas, which has the largest uninsured population from the U.S. based on this Austin-based book , has depended on the waiver for the last ten years.Updated Date: 15 May 2021, 13:48