Calling All Wonks: Can Red State-Rejected Federal Money Go Into A Trust Fund? Anyone Know?

[TrollBuster9090]

As you know, many Red States are rejecting Federal funding for expansion of Medicaid under the Affordable Care Act, and emergency unemployment relief.

http://www.cnn.com/2013/05/29/opinion/barber-north-carolina-protest/index.html

My question is: Can the money they rejected be put into a Federal trust fund, where it will gain interest (or can actually be LOANED OUT to small businesses, for example) until those states wise up and elect a more progressive State government?

That would be a nice incentive for people to vote Democrat on a State level. "Hey, look, there's $20 billion in a federal trust fund waiting for you. It's just sitting there doing nothing, and it's already been allocated to a program, so it won't be 'given back' in foolish tax cuts. Whenever you want it, all you have to do is vote those mean-spirited Republican obstructionists out of office."

[Agnosticsherbet]

1. As I understand it, money Congress assigns to this can not be used elsewhere.

If it isn't spent, it isn't spent.
Congress would have had to set up a mechanism for moving unused funds to some form of medical savings system. They did not do that.