Health Care Reform Bill’s effect on Medicaid is what we discuss in this piece of content. One of our estate planning attorneys describes what you need to know about what has changed and how to handle things moving forward.
Health Care Reform has affected a number of government programs, including Medicaid. For example, States will have to include Spousal Impoverishment Protection in their waiver programs, and offer this protection to spouses of HCBS waiver participants, including those who are medically needy. This protection will continue for 5 years.
The law also establishes a Community First Choice Option to provide community-based support and services to those with disabilities who are Medicaid eligible and require institutional level care. States that sign up for this program will be eligible for a Federal matching rate fully six percentage points above the norm. This provision takes effect October 1, 2011 and remains in force for a period of 5 years.
Health Care Reform Bill’s Effect on Medicaid and the State
Next, the law establishes a State Balancing Incentive Program effective from October 1, 2011 to September 30, 2015 to provide a higher level of Federal Medicaid Matching Funds to States that currently spend less than 50% of their long-term care funds for home or community-based programs. The intent is to increase the number of Medicaid recipients able to receive these non-institutional long-term care services.
Finally, the law allows Medicaid to cover individuals who are 64 and under whose income does not exceed 133% of the Federal poverty line.
In an upcoming blog, I will talk about the law’s effect on long-term care, nursing homes, and related issues.
Jerry Shiles
Attorney at Law
For more information on the Health Care Reform Bill’s effect on Medicaid or to learn more about your options, contact our estate planning office in Oklahoma City, Oklahoma and our caring staff members will be happy to help you.
Since founding Parman & Easterday in 1985, Larry has led over 1,000 free, community-service education programs and helped more than 10,000 Oklahoma families go from putting off their estate plan to getting it done. His goal for every client is the same: to become the person their family calls "the one who took care of everything."
Larry is the author of three books: The Straight Shooter's Guide to Estate Planning; Estate Planning Basics; and Guiding Those Left Behind in Oklahoma. He served as Oklahoma's Secretary of State and Secretary of Commerce, and his firm is the only member of the American Academy of Estate Planning Attorneys in the state.
- Can You Use AI to Plan Your Estate? - October 13, 2026
- Choosing the Right Successor Trustee: Key Considerations - October 8, 2026
- Aging in Place: A Medicaid Waiver Can Fill the Gap - October 6, 2026
