Bill Would Ban Medicaid For Lottery Winners

Lottery jackpot winners of at least $80,000 would not be able to receive Medicaid benefits under legislation that recently passed a U.S. House committee. Republicans said the bill, which was opposed by all committee Democrats except one, was designed to help taxpayers avoid paying Medicaid benefits for enrollees who don't need it.

The U.S. House Energy and Commerce Committee recently passed 20-11 a bill that would treat lump-sum lottery jackpot prizes of at least ,000 the same as if they were obtained over several months, to give Medicaid a chance to review if the winner needs the program’s assistance. Republican Rep. Michael Burgess of Texas, the committee chairman, said, “I hope we can all agree that Powerball lottery winners should not be eligible to receive Medicaid.” One Democrat supported the bill, designed to help taxpayers avoid paying benefits for Medicaid enrollees who don’t need it.

A second bill, which passed along party lines, would count annuity payments to a spouse against the income threshold for Medicaid.

Rep. Frank Pallone of New Jersey, the committee’s ranking Democrat, said, “These bills merely chip away at the program around its edges, making no meaningful improvements.” Democrats said there was no nationwide data about how many lottery winners actually draw Medicaid benefits. However, GOP staff said hundreds of winners in Michigan collect Medicaid.