A Misunderstanding, Chapter 1

The Governor’s biggest challenge, a Republican consultant explained to the newspaper, is coming up with a way to overhaul Medicaid and stopping its persistent cost overruns – if the Governor can do that, the consultant said, it “practically will insure his reelection.”

Which sounds fine – except for a misunderstanding.

Six years ago, back in 2009, according to the Fiscal Research Division of the State Legislature, state Medicaid spent $3.7 billion. Last year, according to the same folks, the state spent $3.4 billion. This year, according to the Governor, the State will spend $3.5 billion.

When you look at those numbers of what was actually spent (instead of what was and wasn’t appropriated) according to the legislature’s own budget experts there was no spending increase.

It was all just a political misunderstanding.

And the story doesn’t end there.

Next year, the Governor projects, Medicaid spending will increase $263 million.

Why?

Because the number of people enrolled in Medicaid has gone up. 140,000 new people have been added to the rolls.

And what can the Governor do about that?

Not one thing.

Only the legislature – and the legislature alone – can cut enrollment.

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Carter Wrenn

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A Misunderstanding, Chapter 1

The Governor’s biggest challenge, a Republican consultant explained to the newspaper, is coming up with a way to overhaul Medicaid and stopping its persistent cost overruns – if the Governor can do that, the consultant said, it “practically will insure his reelection.”

Which sounds fine – except for a misunderstanding.

Six years ago, back in 2009, according to the Fiscal Research Division of the State Legislature, state Medicaid spent $3.7 billion. Last year, according to the same folks, the state spent $3.4 billion. This year, according to the Governor, the State will spend $3.5 billion.

When you look at those numbers of what was actually spent (instead of what was and wasn’t appropriated) according to the legislature’s own budget experts there was no spending increase.

It was all just a political misunderstanding.

And the story doesn’t end there.

Next year, the Governor projects, Medicaid spending will increase $263 million.

Why?

Because the number of people enrolled in Medicaid has gone up. 140,000 new people have been added to the rolls.

And what can the Governor do about that?

Not one thing.

Only the legislature – and the legislature alone – can cut enrollment.

Avatar photo

Carter Wrenn

Categories

Archives