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Tuesday, July 19, 2005

How does Kansas stack up on estate recovery?

[Ron Shawgo, "States vary on Medicaid recovery," The Fort Wayne Journal Gazette, 17 June 2005.]

When it comes to estate recovery, states have wide latitude in how aggressively they pursue the matter. And, despite recent federal legislation making the pursuit mandatory, some states are taking the federal rules with a grain of salt. All of this can impact not only how a state's Medicaid program fares financially in the short term, but ultimately whether it is perceived as a handout for all or a resource for those truly in need. Kansas legislators have taken steps in the right direction, but there is still likely more than can be done such as requesting a waiver to extend the lookback period for assets.

In an act of defiance, West Virginia sued the federal government over a 1993 law requiring states to recover Medicaid expenses by harvesting the estates of recipients who die.

The state lost.

Begrudgingly, West Virginia has started seeking repayments since that 2002 ruling. Michigan still has no recovery program, however, and Georgia and Texas are beginning programs, a testament to the emotions and politics that surround the issue.

Although the majority of states, including Indiana, have stepped up efforts to recoup expenses since the feds made it a requirement 12 years ago, a new survey has found the states have recovered only a fraction of the vast amounts the governments spend on long-term Medicaid care, and they differ significantly in what assets they pursue.


[Stephen A. Moses, "Project Proposal: Controlling Medicaid Long-Term Care Costs," The Flint Hills Center, January 2004.]

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