Find out more →

Get unlimited access. Become a digital member!

Tuesday, July 10, 2012

Medicaid expansion will save money

Posted By on Tue, Jul 10, 2012 at 11:19 AM

The federal law to expand Medicaid is complicated and expensive. But, here's one moving part I'd overlooked previously. Though expanded programs will eventually cost the state money, they also will save money. Fully implemented in 2020, new Medicaid programs will require a 10 percent state match — an estimated $200 million in 2020.

But ....

That expansion will shift some people already on Medicaid to a 100 percent federal coverage for the next three years and no more than a 10 percent match in future years. The state is now paying about 25 percent of the cost of that coverage.

I put the following question to Amy Webb at DHS and got the following response:

It is my understanding that the Medicaid expansion would cover some who are now on ArKids First or other Medicaid programs that may only have a 3 to 1 match as opposed to 90-10. There could be actual $$ saved to offset the 10% phase in cost by moving current recipients to a lower state match %. Have you seen anything specific on that?

That is correct. The match rate for ARKids B, which last fiscal year had about 75,000 enrollees, goes up to 100 percent in fiscal year ‘15. In addition, we expect that many adults who only get Medicaid because their health care costs drive them into poverty (medically needy) would be covered under expansion as well. We are still working on an analysis of the full impact — positive or negative — that expansion would have on Medicaid. We hope to have that soon. Obviously, your reader has touched on one aspect of that in his question.

We have much more to learn. But this is at least one more indication that sweeping generalizations about insupportable cost increases might bear closer scrutiny.

Tags: ,

Speaking of Medicaid, Arkansas Politics

Comments (7)

Showing 1-7 of 7

Add a comment

 
Subscribe to this thread:
Showing 1-7 of 7

Add a comment

More by Max Brantley

Most Shared

  • The Quapaw return to Arkansas

    Casino try a good bet.
  • Jean Gordon to receive Truth Teller award

    Jean Gordon, who's worked a half-century in just about every social justice and peace movement you can name, will receive the Arkansas Community Institute's 2014 Community Truth Teller Award at a program at 5:30 p.m. Thursday at the library's Darragh Center
  • The French Hill 'tis better to receive-than-give open line

    An open line that features new Congressman French HIll's antipathy in the Catholic newspaper to Obamacare as a "giveaway" to drug companies and hospitals. A Catholic nurse points out that children and other people in need are the real beneficiaries of this giveaway, along with Catholic hospitals.
  • Fan happiness over Hogs' win over LSU costs UA $25,000 UPDATED

    The University of Arkansas will be fined $25,000 by the SEC because Hog fans stormed the football field after Saturday's victory over LSU snapped a long SEC losing streak. It was a second offense by the UA of the conference's "access to competition area" policy.
  • GOP's new Obamacare attack

    It was inevitable. The long crusade against the Patient Protection and Affordable Care Act has pivoted from a battle against socialism to a populist war against big business: The program known as Obamacare is now supposed to be merely a feed trough for the captains of industry, not a government program to force health care on the undeserving poor.

Most Viewed

Most Recent Comments

Blogroll

 

© 2014 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation