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Proposal to repeal Medicaid expansion advances in South Dakota Legislature

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The South Dakota State Capitol Building, Pierre, SD
Pierre and Ft. Pierre Historic Places
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South Dakota State Capitol
The South Dakota State Capitol Building, Pierre, SD

A proposal to repeal Medicaid expansion moved forward in the South Dakota Legislature on Wednesday.

Voters approved the expansion in November 2022, but it did not go into effect until July 2023.

Now, Republican legislators are asking constituents if Medicaid expansion is a priority they want to move forward, considering the state’s budget.

Republican Representative Aaron Aylward, the prime sponsor of the bill, told South Dakota Public Broadcasting when looking at the appropriations and funding, Medicaid is overall the state's biggest spender.

Tim Rave, president of the South Dakota Association of Healthcare Organizations, told the committee Medicaid expansion makes up around $39 million of the $1.8 billion medical services budget in the state.

Earlier this month, Governor Larry Rhoden laid out his budget proposal, saying there won’t be a spending increase for K-12 education, state employees, and healthcare providers.

After an 8 to 4 vote, the bill heads to the House floor.

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