"We want to cooperate with them as much as we can but we're not going to buy into a '60s federal program that's unaffordable and unsustainable," Branstad said. "Because we think the whole thing in the end will either collapse or the burden will be pushed onto the states in a very significant way."
Critics of Branstad's plan have said expanding Medicaid in Iowa would provide more services to a larger number of people. An estimated 150,000, including those on IowaCare, could be added to Medicaid rolls if the state expanded the program.
Senate Democrats have passed legislation expanding Medicaid out of a subcommittee.
Branstad said the state is looking to revise IowaCare, which currently provides hospital care at just two hospitals, to offer services in more locations.
"That's what we're working at. We already have this. We want to improve it," Branstad said.
Lucey reported from Des Moines.