Jason Millman & Kate Nocera
Politico
8/9/2011
Kansas is returning a $31.5 million grant to lead the way on exchange development, marking one of the largest rejections of federal money to implement a piece of health reform.
Kansas will send back to HHS an Early Innovator Grant it was awarded in February to build technology infrastructure for the exchanges that other states could use as a model.
Two of the seven states that have received the grants have now returned them. Oklahoma Gov. Mary Fallin turned back a $54 million grant in April after mounting pressure from state GOP lawmakers. A handful of states have meanwhile rejected $1 million grants to help plan health exchanges.
“There is much uncertainty surrounding the ability of the federal government to meet its already budgeted future spending obligations,” Kansas Gov. Sam Brownback said in a statement. “Every state should be preparing for fewer federal resources, not more. To deal with that reality Kansas needs to maintain maximum flexibility. That requires freeing Kansas from the strings attached to the Early Innovator Grant.”
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