Sources: Gov. Scott Walker's Medicaid plan would expand coverage

For days, Democrats in the state Legislature have urged Gov. Scott Walker to allow Wisconsin to participate in a Medicaid expansion program under the federal Affordable Care Act - Obamacare.

Such a move would give Wisconsin access to "free" federal health care dollars, they argued, and provide more residents with health services under Medicaid.

Walker has decided not to do that, according to sources in his administration, but he will expand health services in the state, they say.

The centerpiece of Walker's plan will be lowering eligibility standards for some categories of Medicaid recipients, pushing those recipients into the new federal exchanges that will be set up under the ACA. That move opens more slots for childless adults in the Medicaid program.

Walker plans to remove the cap on the BadgerCare Plus Core Plan, currently set at 65,300 (although currently, only 22,300 individuals participate in the program.)

The administration projects that under Walker's plan, the net increase in Medicaid enrollment will be about 35,000 individuals. Officials estimate that when fully implemented, the state's uninsured population will decrease from 11.5% to 6%.