September 30, 2008 Massachusetts obtains extension of Medicaid waiver

BOSTON (AP) - The state has reached an agreement with the federal government on a three-year extension of a Medicaid waiver needed to help continue the state's landmark health care law.

Sources close to the negotiations tell the Associated Press that the agreement secures billions of dollars more in spending authority for the state over the previous waiver. The agreement preserves all eligibility and benefit levels.

The waiver allows Massachusetts to bypass rules about spending its federal Medicaid money. The state needs the waiver to continue using federal money as it shifts coverage from free emergency room care for the uninsured to a mix of private and government-sponsored insurance for all workers.

The Patrick administration is expected to announce details Tuesday afternoon.

(Copyright 2008 by The Associated Press. All Rights Reserved.)

Senator Kennedy said, "Today's agreement is a major achievement for the people of Massachusetts, and I commend Governor Patrick and Secretary Leavitt for all they did to make it possible. The waiver enables the state to continue to provide good, affordable health care to families, and provides additional funding and flexibility to build on these early successes in the years to come. We've made major progress in the program's first two years, cutting the number of uninsured in half, and increasing employer- sponsored coverage. Our experience with health reform in the Commonwealth