Transitional Medicaid. Former Low-Income Medicaid (LIM) families who are no longer eligible for LIM because their earned income exceeds the income limit.
Transitional Medicaid. Retains existing Medicaid law regarding transitional assistance. Families that would lose eligibility for Medicaid because their income, due to increased child support, exceeds the prior law AFDC standards(as discussed above) will receive four months of transitional Medicaid and those becoming ineligible due to increased earnings will receive twelve months. • Transitional assistance provisions, due to sunset in 1998, are extended to 2001. • States will have the option to terminate medical assistance for persons denied cash assistance because of refusal to work; pregnant women and minor children are, however, protected. Waivers: A state with a waiver of certain Title IV-A provisions in place or approved by the Secretary on or before July 1, 1997, will have the option to continue to operate under that waiver with regard to eligibility for medical assistance. Administrative Costs: The bill allows the Secretary to increase the federal share of administrative costs associated with the implementation of the new eligibility rules, up to a total federal expenditure of $500 million over four years. Services for aliens: • A state will have the option, as of January 1, 1997, of denying Medicaid coverage to persons who are legal residents but not citizens. • New immigrants will be automatically barred for five years after entry. After that, the state may offer Medicaid coverage, but will have to apply deeming provisions. There are certain exceptions for persons who have worked for forty quarters in covered employment, or served in the military. • Legal immigrants who will be losing SSI benefits will also lose Medicaid coverage. Accordingly, aged, blind, and disabled immigrants will not be categorically eligible for Medicaid. Thus, if a state wanted to extend Medicaid coverage to these individuals, they would have to do it through optional eligibility categories. • No state may deny coverage of emergency medical services to either illegal or legal aliens. Effective Date: These changes have the same effective date as the Title IV-A provisions, not later than July 1, 1997, and earlier at state option.
