Entitlement Trustee: Obamacare Ruling May Cause “Fiscal Damage”

Yesterday's Supreme Court's ruling may have created a fiscal catastrophe for states, said Dr. Charles Blahous

Dr. Charles Blahous, a public trustee for America’s Social Security and Medicare programs, said Friday that yesterday’s Supreme Court’s ruling may have created a fiscal catastrophe for states.

“The Supreme Court’s action of striking down only the requirement that the states expand Medicaid may mean that the health law will do even more fiscal damage than before,” blogged Blahours, who also serves as a senior research fellow at George Mason University.

Blahous explained that some states may refuse to comply with the now voided rule that would have allowed citizens earning up to 133 percent of the federal poverty level to qualify for Medicaid coverage.

“With states no longer facing a steep financial penalty if they decline to comply, some or many of the plaintiff states may not,” Blahous said. “If that happens, Medicaid coverage under the law will be less than previously estimated, and participation in the health exchanges likely more than previously estimated.”

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