Florida Gov. Rick Scott is dropping a lawsuit against the Obama administration after reaching an agreement over federal hospital funds.
State and federal health officials reached an agreement in principle earlier this week to continue funding Florida's hospital low-income pool for two more years, but at a lower cost. Florida will receive $1 billion this year — about half of what the state had been receiving — and $600 million next year. In a statement Thursday, Scott said his lawsuit was essential to getting the funds extended.
Scott's lawsuit accused the federal government of tying the funds to whether or not the state expanded Medicaid.
The Obama administration and the Florida Senate wanted to expand Medicaid to roughly 800,000 Floridians. But Scott and Florida House Republicans opposed to taking money tied to so-called Obamacare.
