By Jeffrey Wolf & Adam Shrager, 9 News
DENVER – Dozens of the nation’s governors, including Colorado Gov. Bill Ritter (D-Colorado) called on Congress Wednesday to pass legislation extending Medicaid payments to the states that was initially part of the federal stimulus plan.
More than 30 states balanced their budgets under the assumption they would get access to the hundreds of millions of dollars allocated to each under the so-called federal match for Medicaid (FMAP) program. Many of the bipartisan group of governors gathered in Washington to make their case to Congressional leaders in person while Ritter and others offered their points via video conference.
“I worry about the country’s long-term deficit as much as anyone but here is an opportunity for us to look at balance,” Ritter told a group of reporters gathered for a news conference on the topic. “Here in Colorado, we’re in the early stages of what I would say is a fragile recovery, so it’s not the time now to slow that recovery. Now is not the time to risk the progress we’ve made. Now is not the time to risk further job losses because of inaction on the part of Congress.”
Ritter says Colorado stands to lose $211 million if the money is not allocated. Republican governors in Arizona and New Jersey each support re-authorizing the money as each is set to lose more than $500 million if it does not happen.
Governors and state lawmakers assumed the federal funding was forthcoming after the Senate passed a bill authorizing the money and the House passed a separate measure also granting the matching funds. Even with the White House’s support, there is increasing concern over the $24 billion in deficit spending that would be needed to give the money to the states.
“The FMAP increase was intended to be temporary and U.S. taxpayers cannot afford another $24 billion in deficit spending,” Rep. Mike Coffman (R-Colorado) said. “The solution to the budget shortfall is enacting pro-growth economic policies that will generate more revenue.”
Ritter says he will present a budget balancing plan to state lawmakers in August that will include the extra $211 million in spending reductions if Congress does not act before then.
