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Medicaid reforms threaten children's federal safety net

Medicaid would be dismantled and replaced with block grants to the states, under a proposal the House Commerce Committee approved Sept. 22.

Known as MediGrant, the proposal would give lump-sum federal payments to the states. The federal guarantee of Medicaid health benefits for the poor, elderly and disabled would be eliminated. States would have the authority to decide eligibility, coverage, benefits and also contract with managed-care plans or individual providers on a capitated or other basis to provide medical benefits to the poor.

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