AUSTIN – The Texas Public Policy Foundation and Foundation for Government Accountability sent a letter to Texas Senators John Cornyn and Ted Cruz regarding concerns about the “maintenance of effort” (MOE) provision in the Families First Coronavirus Response Act (FFCRA).

“The health of the most vulnerable Texans and the broader public are at stake,” said David Balat, director of the Texas Public Policy Foundation’s Right on Healthcare initiative. “But without reform, the assistance provided in the Families First Coronavirus Response Act will degrade state Medicaid programs and devastate state budgets.”

The letter states:

“Under the so-called MOE requirements, Congress has handcuffed states and forced them to accept thousands, possibly millions of new people into Medicaid with no way of removing them—even if they become ineligible, go back to work, or commit fraud. Considering how often our department finds individuals to be ineligible at redetermination, this is nonsensical.

“State leaders are forced to make the impossible choice between accepting critical short-term assistance and risking long-term solvency, not only in our Medicaid programs but in our budgets more broadly.

“This is not a true MOE provision. This is a hostage-taking provision.”

To read the letter in full, please visit:

https://files.texaspolicy.com/uploads/2020/05/11102141/FGA-TPPF-Letter.pdf