Report warns of state money fallout from health law repeal

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WASHINGTON — A report to governors about the potential consequences of repealing the Obama-era health care law warns that federal spending cuts likely would create funding gaps for states and threaten many people with the loss of insurance coverage.

The Affordable Care Act has two main components for expanding coverage: subsidized private health insurance available in all 50 states, and an optional Medicaid expansion that’s been accepted by 31 states and the District of Columbia.

Those components cover more than 20 million people.

A report by the consulting firm Avalere Health concludes that the changes under consideration by the GOP-led House would reduce significantly federal dollars for Medicaid and subsidized private insurance.

The Associated Press obtained a copy of a slide presentation that Avalere made to governors meeting in Washington.

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