State receives health care grant; plans to wait

South Dakota received $5.8 million on Wednesday from the U.S. Department of Health and Human Services to help cover the costs of implementing a state-run health insurance exchange program.

But as far as Gov. Dennis Daugaard is concerned, the money doesnt change anything in terms of his opposition to health-care reform.

Daugaard released a statement Wednesday saying that South Dakota has not decided whether to pursue a state-run health insurance exchange. The governor said the grant announcement has no effect on the states decision to wait until the U.S. Supreme Court makes a decision regarding the constitutionality of the Affordable Care Act.

South Dakota is one of 26 states challenging the act, a case pending before the Supreme Court. A decision is expected in June.

Under the Affordable Care Act, all states are required to have a blueprint for their individual state plan by Nov. 16. Exchanges are competitive marketplaces where individuals and businesses can access health insurance at affordable prices, according to the HHS. Under the act, all Americans eventually will be required to acquire health insurance.

Under the act, states can create a state plan or design a joint state/federal plan. If they do not create their own by Nov. 16, a federal plan can be implemented and operated for them.

HHS Secretary Kathleen Sebelius said Wednesday that 34 states already have begun creating the exchanges. Other states are making real progress, she said.

Sebelius said the federal government doesnt want to run the exchanges.

We start with the premise we want every state to operate their own, said Sebelius, adding that the $181 million in grant money for six states announced Wednesday is designed to help them do that.

Daugaard previously has said that he never wants to see a federal plan in South Dakota. Yet some experts believe that is exactly what could happen for states that do not begin planning soon.

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State receives health care grant; plans to wait

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