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Letter to the Honorable Nancy Pelosi 1 (February 2009)

handle is hein.congrec/cbo8542 and id is 1 raw text is: OCONGRESSIONAL BUDGET OFFICE US. Congress Washington, DC 20515 February 10, 2009 Honorable Nancy Pelosi Speaker of the House U.S. House of Representatives Washington, DC 20515 Dear Madam Speaker: As you requested, the Congressional Budget Office (CBO) and the Joint Committee on Taxation (JCT) have estimated the number of people who would receive benefits under title III of H.R. 1, the American Recovery and Reinvestment Act of 2009, as passed by the House of Representatives on January 28, 2009. Title III would allow states to extend Medicaid coverage to certain involuntarily separated, unemployed individuals and their families through December 3 1, 20 10. The federal government would reimburse states for 100 percent of the costs incurred by individuals who enroll in Medicaid under this title. Eligible individuals would not be permitted to enroll in Medicaid if they arc enrolled in another health insurance plan. Some involuntarily separated individuals who do not enroll in Medicaid under this title would elect continuation of their employer's group health insurance coverage as permitted under the Consolidated Omnibus Budget Reconciliation Act (COBRA). Most individuals who choose COBRA continuation of their employer's health plan pay an unsubsidized monthly premium. Under title III of H.R. 1, the federal government would assume 65 percent of the cost of COBRA health insurance premiums for up to 12 months for individuals involuntarily separated from their employer after August 31, 2008, and before January 1, 2010.

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