New York has received a $95.5 million grant to help create its health-insurance exchange, which all states must have by Jan. 1, 2014 in order to comply with the federal Affordable Care Act. The grant is the fifth New York has received from the U.S. Department of Health and Human Services. The total amount of funding the state has received to date is $183.2 million.
Exchanges will be one-stop “marketplaces” where consumers and small businesses can purchase privatge health-insurance plans. The federal government will set up exchanges for states that don’t do so on their own. In New York, Gov. Andrew Cuomo issued an executive order to create a health exchange after the GOP-led Senate declined to bring the legislation to a vote. The Democrat-controlled Assembly had passed the bill.
California, Connecticut, Hawaii, Iowa, Maryland, Nevada and Vermont also received new grants this week, according to Health and Human Services Secretary Kathleen Sebelius. Connecticut, Maryland, Nevada and Vermont are further along in building their exchanges than the other states and received level-two grants.
Forty-nine states, Washington, D.C., and four territories received grants to start planning their health exchanges. To date, 34 states and Washington have received grants to begin setting up their exchanges.
“We continue to support states as they move forward building an Exchange that works for them,” she said in a statement. “Thanks to the health care law, Americans will have more health insurance choices and the ability to compare insurance plans.”