Trump administration to dump Obama-era rule allowing unions to siphon Medicaid money

The Trump administration announced Tuesday it planned to end what it suggested was an illegal Obama-era rule allowing unions to collect dues from state subsidies intended for home health workers -- including family caregivers.

Federal law generally prohibits states from skimming money from Medicaid payments bound for independent in-home personal care workers. But in 2014, the Obama administration created an exception, saying that states could divert some of that Medicaid money to unions, on the theory that these workers effectively were public-sector employees.

Eleven left-leaning states have used that provision to raise more than $200 million a year for unions by taking it from health workers who often didn't even realize it, according to top GOP officials.

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