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Will healthcare law raise states' Medicaid costs?

McClatchy Newspapers, March 9, 2011

The nation's Republican governors are raising a new complaint against the 2010 national health overhaul, which they deride as "Obamacare." They say it would drive up their Medicaid costs dramatically at a time they're already slashing their budgets to cope with debt. There's no question that the healthcare law will force states to expand their Medicaid services, but how that ultimately will affect states' costs is a matter of considerable dispute. The 2010 law requires that state Medicaid programs in 2014 begin covering all non-elderly people who earn up to 133% of the federal poverty level, which would comprise people with incomes of up to $29,400 for a family of four this year.

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