Obama Administration Report On Medicaid Examines Future Growth Of Costs
The report, released this week but prepared by Obama administration officials, says spending by states and federal government together increased 4.3 percent in 2016. Continued growth could "displace spending on other important programs, or additional taxes or other revenue sources could be required to fund Medicaid," according to the report. Meanwhile, news outlets report on a Fitch analysis of Medicaid's impact on localities and developments in Ohio and Alabama.
Modern Healthcare:
Obama Administration's Report Could Help GOP Justify Medicaid Cuts
In its final Medicaid spending report, the Obama administration conceded that Medicaid enrollment growth and spending could deplete other federal programs. Both states and the federal government are spending more to cover more people that became eligible for coverage under the Affordable Care Act. While this recent report doesn't outline the biggest spending hikes in recent years, it does warn that increased spending could cause collateral damage. (Dickson, 1/30)
Reuters:
Sanctuary City Funding Cuts Less Of A Concern Than Medicaid: Fitch
President Donald Trump's executive order last week to cut federal funding to self-proclaimed sanctuary cities would likely not result in an impact to cities' bond ratings, Fitch Ratings reported on Monday. Instead, a push to convert Medicaid to a block grant would likely result in a more significant effect on state and local government finances, Fitch noted. (Respaut, 1/30)
Columbus Dispatch:
Kasich Keeps Medicaid Expansion In State Budget Proposal
Amid uncertainty about the expected repeal of the Affordable Care Act, Gov. John Kasich's final two-year budget proposal maintains Medicaid health coverage for 3 million poor and disabled Ohioans, including the 700,000 childless adults added to the rolls under Obamacare. To curb costs, Kasich's plan for Ohio's tax-funded health insurance program would save hundreds of millions by cutting payments to hospitals and nursing homes, charging premiums to some beneficiaries, and moving nursing home residents and others into private managed-care plans. (Candisky, 1/31)
Cleveland.com:
Medicaid Enrollees Would Pay Monthly Premiums Under Gov. John Kasich's Budget
Gov. John Kasich is again proposing some Ohio Medicaid enrollees have a stake in their health insurance coverage by paying monthly premiums. Childless, non-pregnant adults with incomes above the poverty line would pay approximately $20 per month. The change requires federal approval, but the estimated $100 million a year savings was factored into Kasich's two-year budget plan. Kasich first proposed the idea in 2015 as part of the state budget. (Borchardt, 1/31)
AL.com:
Medicaid Commissioner Says Alabama Faces Critical Decisions
Alabama Medicaid Commissioner Stephanie Azar said today the agency will need about $44 million more from the General Fund next year on top of a $105 million one-year boost from a BP oil spill settlement. Azar and key legislators said the state needs to plan beyond next year and decide whether to proceed with a plan to change Medicaid to a managed care system, a federally approved reform that has been in the works for several years. (Cason, 1/30)
Montgomery (Ala.) Advertiser:
Medicaid Seeks More Funding; Hopes To Make RCOs Reality
Commissioner Stephanie Azar told budget committee members Monday the agency – a keystone of the state’s health care sector -- will request a total of $869 million in state funding for the next fiscal year, which starts Oct. 1. The increase will, among other items, cover inflation and Medicare Part B services. “One thing that is not unique to Alabama is that health care costs continue to rise,” Azar told the committee. Legislators – who will have to weigh Medicaid’s request against those of other agencies funded in the General Fund budget -- last summer voted to give $105 million from the state’s share of BP settlement over the 2010 Gulf oil spill to the Medicaid program. (Lyman, 1/30)