HHS Secretary on South Dakota's Medicaid expansion: 'Tens of thousands of South Dakotans now have an opportunity to obtain health care coverage, and the peace of mind it provides'

Xavierbecerra
XavierBecerra | HHS

HHS Secretary on South Dakota's Medicaid expansion: 'Tens of thousands of South Dakotans now have an opportunity to obtain health care coverage, and the peace of mind it provides'

On June 30, more than 52,000 South Dakotans—including many members of South Dakota Tribes—became eligible for full health coverage as a result of South Dakota's historic expansion of Medicaid, according to a U.S. Department of Health and Human Services news release.

“Tens of thousands of South Dakotans now have an opportunity to obtain health care coverage, and the peace of mind it provides, as a result of Medicaid expansion,” said HHS Secretary Xavier Becerra. "The comprehensive health insurance that Medicaid provides can be life-changing for American families. I urge the remaining states yet to adopt expansion to do so.”

According to the news release, thousands of South Dakota residents who applied for health coverage expansion under the state's Medicaid expansion, l started receiving benefits under the Affordable Care Act on July 1 including access to primary, preventative, and emergency care, as well as benefits for substance abuse treatment and prescription medication. With the implementation of its Medicaid expansion, South Dakota will be able to provide complete health care through Medicaid to all persons ages 19-64 with earnings under 138 % of the federal poverty line ($20,120).

Under President Biden's American Rescue Plan, South Dakota now receives additional federal cash in addition to the Medicaid expansion, the news release said. By granting a five percentage point boost in the standard federal matching rate for the majority of Medicaid services for two years, the ARP encouraged states that have not yet expanded Medicaid coverage. States that expand Medicaid are also eligible for the 90% federal matching funds that are currently available under the ACA for services delivered to specific Medicaid expansion enrollees, which means that the federal government covers 90% of the costs and the state is responsible for 10%, HHS said..

Together with the Children's Health Insurance Program (CHIP), Medicaid continues to be the principal source of health insurance in the United States, providing access to a variety of essential medical services for close to 94 million people, the news release said. Up to 4 million more uninsured or underinsured people might sign up for high-quality, affordable healthcare coverage through Medicaid if all remaining states decided to expand their Medicaid programs in accordance with the Affordable Care Act (ACA). In particular, there would be five times more Black individuals eligible for Medicaid and a six times more Hispanic adults, the news release said.

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