MADISON, Wis. -

The state of Wisconsin will be sending letters next month to Medicaid recipients who will be losing their coverage under Gov. Scott Walker's budget.

The letter will tell the estimated 92,000 people affected how they can purchase federally subsidized private insurance through the new marketplaces established under the federal law. Those marketplaces will begin accepting applications in October and go live in January.

Those losing BadgerCare Medicaid coverage under Walker's budget are those who earn between 100 percent and 200 percent of the federal poverty level. Walker rejected federal money that would have paid to keep those earning up to 138 percent of poverty enrolled in Medicaid.

State Medicaid director Brett Davis said Friday those losing coverage will be sent
a letter on Sept. 23 telling them of their options.