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Billions for Missouri Medicaid might depend on ending Planned Parenthood funds

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(The Center Square) – Three years ago, the Missouri legislature failed to pass during its regular session a recurring special tax providing billions of dollars to the state’s Medicaid program.

This year, leaders in both chambers and parties agree renewing the federal reimbursement allowance (FRA) is a priority, and it’s scheduled for debate in the Senate next week. However, some Republicans hinted at delaying its passing unless legislation is approved to deny reimbursements to Planned Parenthood.

“We continue to believe that if passing the FRA is important, so is protecting life,” said Sen. Bill Eigel, a candidate for the Republican nomination for governor, speaking for the Freedom Caucus on Thursday. “And we want to make sure that defunding Planned Parenthood becomes the norm and not the conversation we’re continually going back to.”

The FRA is a tax on hospitals, pharmacies, nursing homes and other medical providers. The revenue is then partially matched by federal funds.

Without passing the FRA, House Democrats said the $46.4 billion budget passed on Thursday would have to be recalculated to compensate for a loss of between $4 to $6 billion.

“The real part of this story for me is the fact that unless we pass the federal reimbursement allowance, this whole budget is a lie and it’s a complete joke,” said House Minority Leader Crystal Quade, D-Springfield. “We’re talking … an insane shortfall, around a $6 billion shortfall if we don’t pass the FRA, which means that we have to completely start from scratch.”

Quade also said Sen. Lincoln Hough, R-Springfield, and the budget chairman, believes passing the FRA is essential.

Senate Speaker Pro Tem Caleb Rowden, R-Columbia, said passing the FRA should be a priority and debate is scheduled on the funding of Planned Parenthood.

“I think that’s the only responsible thing to do,” Rowden said of passing the FRA. “In the absence of that $4 billion, you have a much different equation in front of you. I assume our goal and objective will be to start that conversation next week to give us a little bit of wiggle room and a little bit of a buffer to make sure that we get it done.”

Senate Democrats agreed the budget process will be more complicated if the FRA isn’t passed.

“It’s kind of hard to do a budget without the FRA … your numbers are kind of fake to begin with,” said Sen. Doug Beck, D-St. Louis. “So the FRA needs to happen, in our mind. Also, the Planned Parenthood bill … Republicans have been defunding Planned Parenthood for forever in the budget. I don’t know if there’s any money that’s gone there.”

Republican Gov. Mike Parson called a special session in 2021 to get the FRA passed. When Senate Republicans attempted to link passage with cuts to Planned Parenthood reimbursements, Parson set a deadline to get the FRA passed and threatened cuts and reductions of $591 million to the state budget.

“Let me be clear: I am pro-life,” Parson said in June 2021. “I have supported pro-life measures my whole career and always will. However, narrow political interests cannot be allowed to hold hostage vital health care funding and the success of our economy.”

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