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News Release

STATEMENT BY TOMMY G. THOMPSON
Secretary of Health and Human Services
Welcoming Appointment of NGA Medicaid Task Force Members

"The Bush Administration looks forward to working closely with the National Governors' Association (NGA) and its newly-appointed Medicaid Reform Task Force to bring about improvement and modernization of the Medicaid program. This is an important step forward to bringing Medicaid into the 21st century.

"NGA has made a bipartisan call for fundamental strengthening of Medicaid. We welcome this effort. The greatest risk to the 47 million Americans who rely on Medicaid for their health insurance and long-term care is to do nothing. We have been talking with the governors over the past two months about the potential for strengthening the program. This is a clear signal that on a bipartisan basis, the governors agree this is the year to get the job done.

"The task force is an outstanding group of governors and I look forward to working with them and Congress to secure passage of Medicaid improvement in 2003.

"The President's plan for Medicaid lays a solid foundation. His plan would be voluntary for states -- but for states that elected it, it would provide the flexibility and upfront resources necessary to continue to provide health care coverage, even during tough fiscal times. The plan would give states the ability to change their programs without first coming to the federal government for permission or having to meet inflexible rules that might prevent them from continuing to provide benefits. This means that states could act quickly and effectively to avoid the kinds of reductions that are happening right now.

"The President's proposal would continue to require full benefits for those entitled to Medicaid under federal law, and it would continue uncapped federal funding for these mandatory populations. At the same time, it would give states more freedom in designing effective health care options for the additional Medicaid recipients that each state wishes to cover.

"Over the last two years, through the use of waivers, we have expanded access to coverage by 2.2 million Americans, and we want to preserve these gains -- but that is an unlikely outcome unless the states have these new approaches. The Bush administration is committed to helping those who need help, we are anxious to work closely with the governors, and we believe Congress needs to take action soon to improve and strengthen the Medicaid program."

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Last Revised: March 26, 2003