Medicaid is out of control and unsustainable. Work requirements could help.
It’s not the lead story on the nightly news, and it’s not generating millions of clicks online. It may be one of the most underreported, underappreciated public-policy crises of our time. That’s a terrifying reality because, left unaddressed, this crisis will come at great cost to America’s most vulnerable.
The Medicaid program is at its breaking point. Even before Obamacare lured some states into expanding the program to non-disabled, working-age adults, Medicaid was growing at an alarming rate. Now, in the Obamacare era, the program is growing even faster, siphoning more and more resources away from folks who truly depend on Medicaid for survival.
A new report, released this week by the Foundation for Government Accountability, gives a glimpse of just how serious the problem is.
Last week, with little fanfare, the U.S. Senate passed a bill to begin dismantling Obamacare. Some pundits have spun the move as little more than “political posturing” or a toothless act that simply fulfills the campaign promises of a newly elected GOP majority. The truth is that this Senate vote is much bigger than Obamacare supporters would like you to believe. In fact, the Senate vote has literally changed the Obamacare debate forever.
The Senate bill repealed the employer and individual mandates, repealed the Cadillac and medical device taxes, eliminated exchange subsidies, and removed the federal government’s authority to run the Obamacare exchanges. All good things.
But what may be the most significant—and least discussed—change is sure to send shockwaves through all 50 state capitals: the U.S. Senate voted to repeal Obamacare’s Medicaid expansion entirely.
To paraphrase Vice President Joe Biden, “This is a big freaking deal.” Continue reading
By Nic Horton, Jonathan Ingram and Josh Archambault — Mr. Horton is Policy Impact Specialist, Mr. Ingram is Research Director, and Mr. Archambault is a Senior Fellow at the Foundation for Government Accountability.
A recent report from the Congressional Research Service (CRS) confirms what many policy experts have known for some time: states that reject Obamacare’s Medicaid expansion aren’t sending that Medicaid expansion money to other states. Instead, that money is simply never spent.
This revelation is important because numerous governors and state lawmakers from across the country have used this argument to justify their support for expanding Medicaid through Obamacare. However, as CRS succinctly explains, these arguments are entirely frivolous.
There’s No Fixed Pot of Obamacare Medicaid Money
Politicians have made the case for Obamacare’s Medicaid expansion based on the false idea that rejecting Medicaid expansion will send their states’ shares of Obamacare money to other states.
Governor John Kasich (R-OH), for example, has repeatedly claimed that rejecting Medicaid expansion would send Ohio’s ‘Medicaid expansion money’ to states like California. These false sentiments have been echoed repeatedly in Missouri, Tennessee, Utah and Wyoming– just to name a few. Obamacare advocates promise that Medicaid expansion won’t increase federal spending, but will instead simply ‘bring back’ their own federal tax dollars.
The new CRS report explains that this claim is bogus: Continue reading