The Affordable Care Act (ACA) requires that states maintain their current eligibility standards for Medicaid and CHIP. These stability protections apply to adults until the major components of health reform go into effect on January 1, 2014, and to children until September 30, 2019. If they are rescinded, states could eliminate Medicaid for anyone who is covered at state option, as well as cut eligibility, shut down enrollment or even entirely abolish their CHIP program.
Federal funding for Medicaid is currently available to states on an "as-needed" basis, but under a block grant, federal funding would be capped. Any substantial changes to the Medicaid financing structure would have a significant impact on the health and economic security of families and communities across the country, as those who have come to rely on the program would no longer be guaranteed enrollment.