The Associated Press reports that in over a dozen states that expanded Medicaid, enrollments soared far above projections, putting budgets in danger for 2017 when states start sharing in the costs.
Look at these budget busting numbers:
Kentucky: Twice as many signed up as projected in 2014. Was not projected to hit this level until 2021. Cost to state in 2017 surged from $33 million to $74 million. By 2021, cost will exceed $363 million.
California: Enrollment was 300% higher than projected
Washington: Enrollment more than double the projection.
Oregon: Enrollments exceed estimates by 73%
New Mexico: Enrollments exceed projections by 44%
Democrats urge patience, clinging to studies that show job creation and new tax revenues generated by Medicaid expansion will eventually help.
Odd to see Democrats touting trickle-down economics.
States are trying to prepare for the wave of Medicaid costs they start paying for in two years, but as the article states, health care is already the second highest budget item, behind Education.
If cuts to other programs are in the future, it doesn’t take a math wizard to see where it’ll come from.
Looks like the Virginia Republicans who urged caution before jumping into Medicaid expansion knew what they were talking about. Adding people to Medicaid isn’t the path to budgetary nirvana. States who dove into the pool head first are learning that the water isn’t as deep as they were told.
Still today, the Virginian-Pilot editorializes that Medicaid expansion would bring more money, not more costs, to be spent on the health issue du jour.
“Basic math shows expanding Medicaid would improve the state’s budget and make hospitals financially healthier. (V-Pilot)
Obviously, the Pilot didn’t read itself this weekend.
Basic math shows that when Medicaid expansion costs are two to three times higher than government told us, the state budget doesn’t get “improved”. It gets squeezed.
States across the country are showing that the only thing Medicaid expansion has done for a state budget is jeopardize education, risk cuts to public safety and put an already unsustainable budget-buster on automatic pilot to higher taxes.
