Phase 0: Preparation · Step 0.1
Set each state's contribution
Months −16 to 0 · HHS / Treasury / statesDiscuss this step
Every concrete action this step requires, who is responsible, and when it happens relative to enactment.
| # | Action | Owner | When | Trade-off |
|---|---|---|---|---|
| 0.1.1 | Compute each state's MOE: its 2024 Medicaid + CHIP + Medicare buy-in spending, indexed to per-capita national health spending growth. | CMS OACT | Month −16 | Indexing MOE to national per-capita growth is predictable but ignores states' different demographic trends. |
| 0.1.2 | Compute each state's offsetting gains: state-employee premiums ended, Medicaid administration ended, new income-tax revenue from wage pass-through. | CMS OACT / Treasury | Month −16 | Counting offsetting gains makes the deal attractive but relies on estimates states may dispute. |
| 0.1.3 | Share savings: states receive a share of any national savings below the spending growth target. | HHS / Treasury | Month −12 | Sharing savings gives states a stake in cost control, but reduces savings available to lower taxes. |
| 0.1.4 | Set up monthly MOE payments from each state to the national trust fund. | Treasury / states | Month −6 to 0 | Monthly payments give the trust fund steady cash but strain state cash flow in downturns. |