A federal appeals judge ruled last week that a proposal by Maine Governor Paul LePage (R) to remove certain 19- and 20-year-olds from the state's Medicaid program would be an illegal violation of the Affordable Care Act. Under certain circumstances, people in this age range are considered as children rather than as adults for purposes of Medicaid eligibility. A 2012 proposal by LePage would have cut eligibility for this group, which would have saved the state approximately $4 million per year.
Federal regulators rejected this proposal, prompting the state of Maine to pursue a review of the decision. When that review was rejected, the state sued the federal government. Last week's ruling is consistent with two previous administrative rulings by the federal government that found that these cuts were illegal.