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Some State Lawmakers Suggest Cutting CHIP, Medicaid Benefits To Millions

The Lone Star state is facing a $25 billion dollar shortfall and one proposed fix coming from lawmakers is to cut health coverage for millions.

According to the Texas Tribune and New York Times, some state Republican lawmakers have said one prescription could be getting rid of CHIP and Medicaid.

Medicaid provides health coverage for those with low incomes or some disabilities. CHIP covers children whose parents make too much money to qualify for Medicaid but not enough to afford private insurance.

Right now, the federal government reimburses Texas for about 60 percent of the healthcare costs.

The Heritage Foundation said if the state were to opt out, Texas would save $60 billion between 2013 and 2019.

“This system (Medicaid and CHIP) is bankrupting our state…” Republican State Rep. Warren Chisum told the Tribune. “We need to get out of it.”

El Paso pediatrician Jose Alva told ABC-7 Medicaid and CHIP are very much needed in the Sun City.

According to one local CHIP provider, El Paso has about 25,000 children enrolled.

When it comes to those on Medicaid, the number is roughly 100,000.

While Alva said the programs are important for El Paso, he said he’s also seen the programs “abused. I see parents driving Escalades who come in and turns out they’re getting Medicaid.”

But there are the hardworking families on the programs, as well, such as Victor Rodriguez. He is working a fast-food job while he goes to school to become a probation officer.

His 16-month-old daughter Luisa is getting a shot with the help of CHIP.

And he’d hate to lose that help.

“You can’t take it away…people are losing their jobs,” Rodriguez said.

Some conservatives said without Medicaid and CHIP, some with low-incomes could qualify for federal subsidies to buy private insurance as part of President Barack Obama’s health care overhaul.

Cutting Medicaid in Texas is still just an idea being floated around ahead of January’s legislative session.

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