It appears that if a state chooses to 'opt out', they lose ALL federal funding in medical and other areas. The Pelosicare bill reads:
Subtitle E—Miscellaneous
SEC. 2585. STATES FAILING TO ADHERE TO CERTAIN EMPLOYMENT OBLIGATIONS.
A State is eligible for Federal funds under the provisions of the Public Health Service Act (42 U.S.C. 201 et seq.) only if the State—
(1) agrees to be subject in its capacity as an employer to each obligation under division A of this Act and the amendments made by such division applicable to persons in their capacity as an employer; and
(2) assures that all political subdivisions in theState will do the same.
Title 42 of the U.S. Codes, starting with Section 201 (Definitions), eventually comes to Chapter 7 - Social Security In that section, twenty-one federal grants are included:
Since the wording of the Pelosicare Bill says "Et seq." (An abbreviation of the Latin phrase et sequens... used to identify the sections or subsections that follow it.) I assume that the feds will cut off all that money to any state which doesn't comply with "Division A", which is the meat of the bill.
SOURCE: John Cooper, Asheville Tea Party