The House Republican proposal to repeal and replace Obamacare will repeal the Medicaid expansion in its "current form" and replace it with per-capita caps, or limits on funding for each person in the program, according to a document given to members obtained by Axios.
States that expanded Medicaid would continue to receive enhanced federal funding for the expansion population during a transition period. But over time, the federal funding would be decreased to the state's traditional match rate. Obamacare required the federal government to pay for the entirety of the expansion for the first three years, eventually phasing down to 90 percent.
"This ensures continuity of care and coverage for low-income adults, but does not reward states that expanded Medicaid under Obamacare and allows individuals to cycle off the program into other coverage sources naturally," the document says.