"Kentucky believes Medicaid enrollees will over time graduate from Medicaid to private and employer insurance plans."

And pigs will fly.  Once Republicare is implemented, businesses will jettison those expensive insurance benefits, leaving employees to find it on the private market.  And at the rate healthcare costs are increasing, most of them will be left hanging.  
The real republican plan for reducing the number of uninsured is to hope most of them die.  There can't be any other explanation.