SIOUX CITY, Iowa (Iowa Media Wire) – Iowa lawmakers are considering a bill that would change the current limits for Medicaid for employed people with disabilities.
The Work Without Worry bill aims to create positive change for those currently working with disabilities and for the state of Iowa.
“Maybe you have a disability and this impacts you, or maybe you know someone that has a disability, such as myself, that it impacts, or maybe none of that is true,” disability and community advocate Alex Watters said. “But you at least recognize that at any point in your life you could become disabled, and this would impact your life.”
On Monday in the House, a bill was introduced that would allow individuals with disabilities to earn more money and continue to receive Medicaid benefits, a system that currently provides less care at more cost.
“The state of Iowa ended up privatizing Medicaid,” Iowa state representative J.D. Scholten said. “Which, the purpose of it, they said, was to save costs. But ultimately we paid more for it.”
With the current system in place, disabled Iowans under Medicaid have an income limit of 250% of the federal poverty level. This cap has caused individuals to turn down promotions and raises due to fear of losing their benefits.
“I’ve had to do that in my life where I couldn’t make more money because I still need to get out of bed,” Watters said. “And the risk you run is if you lose these benefits, then suddenly you’re paying out of pocket for that essential care just to be able to get up and be a member of society.”
Some Sioux City residents know firsthand what losing Medicaid benefits is like.
“Under Social Security determinations, because I have worked for eight years, I am no longer considered disabled in their eyes,” resident Erica Carter said. “So when that happened to me, they looked at my income and said ‘oh, you’re just over the limit for Medicaid,’ and they cut all services from me at the end of November 2023.”
Carter is currently paying $500 a week just to be able to get out of bed and go to work every day.
“I’m working half my time just to live, and that’s because of my disability,” she said. “So that’s why this bill is really important to me.”
The Work Without Worry bill would raise the income limit to 450% of the federal poverty level, and take away the current $12,000 asset limit so married individuals are not penalized. But more than that, it would generate more income for the state.
“This isn’t just a handout,” Watters said. “This is something that is going to empower people, but also generate more money for the state in return. Which, a lot of times, you don’t get that.”
The bill is currently waiting to be seen by subcommittee in the House.