DSS: 10,373 affected by HUSKY A income cut; restoring coverage to 160% FPL would cost $55.8M annually

Department of Social Services staff told the Appropriations subcommittee that they are tracking 10,373 individuals subject to the reduction in the HUSKY A parent/caretaker income eligibility threshold (from 160% of the federal poverty level to 138%). The department said the policy change took effect Nov. 1 of the prior year.

DSS provided two cost comparisons to the committee. The agency estimated the annual cost to restore the eligibility threshold to 160% FPL at $55,800,000 total, with a state share of $27,900,000. By contrast, the department estimated that transitioning the affected members into Covered Connecticut without enhanced federal subsidies would cost $25,600,000 annually, with a state share of $12,800,000.

DSS said that, as of the February data in the chart shown to the committee, about 86% of the affected population remain in Transitional Medical Assistance (TMA). The department reported that roughly 9% of the affected population was not enrolled in either HUSKY or a qualified health plan, and approximately 5% had enrolled in a qualified health plan (primarily Covered Connecticut). DSS noted that some people not enrolled in HUSKY or QHPs may have other coverage (for example, employer plans); the department said it conducts outreach through Access Health to market enrollment options but cannot automatically enroll people because of tax and advanced premium tax credit implications.

Lawmakers asked about fiscal risk if enhanced federal subsidies that underpin Covered Connecticut were reduced or removed; DSS responded that state costs would rise if federal subsidies changed and provided follow‑up modeling at different federal match scenarios. Committee members requested additional outreach metrics and enrollment‑assistance data to understand barriers keeping people from moving into QHP coverage.