February 15, 2013      4:43 PM
LBB CALLS FOR FUNDING MEDICAID EXPANSION AS PART OF ITS ADDITIONAL BUDGET PRIORITIES
The recommendation given to the Article II Senate Finance workgroup notes that $50.4 million in state funding would draw down $4 billion in federal match for the next budget cycle
The Legislative Budget Board has included
funding to extend Medicaid coverage to low-income adults as part of its list of
priorities for additional funding to SB 1, the Senate budget bill.
The state’s political leadership has balked so far at endorsing
the program’s expansion, which is a central component of the federal Affordable
Care Act. The LBB recommendation, though, stems directly from the size
of the federal match and the resultant outsized return on investment for the
state.
Or to put it another way, the LBB is acknowledging just how
much cash would be left on the table should the state’s leadership ultimately
decide against the expansion. Also, the added coverage is expected to drive
down governmental health care costs at the local level as fewer people seek
care in hospital emergency rooms. Uncompensated care at hospitals amounted to
$3.1 billion in 2011, according to LBB figures.
By John Reynolds
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