OBAMACARE /MEDICAID EXPANSION FISCAL TIME BOMB
Recently, we commented on ObamaCare architect Jonathan Gruber bragging about how the Obama Administration used a lack of transparency and trickery to get ObamaCare passed. Comparing the ObamaCare sales job with the deceptions NAACP President William Barber uses to push Medicaid expansion in North Carolina.
For example, Barber claims Medicaid expansion is for the ” working poor ”. But the facts show hundreds of thousands of able bodied adults who don’t work are the group ObamaCare’s Medicaid expansion is aimed at.
Under current law, Medicaid already gives free health insurance to poor families with children, the elderly poor and the disabled. These vulnerable groups are already covered by North Carolina Medicaid which already costs taxpayers $14 billion a year or about twice the cost of public schools.
The Democrats want to expand Medicaid under ObamaCare so single, able bodied, working age adults without children can sign up. They don’t even need to be looking for a job. That will add $3 billion to the Medicaid tab and the money will come from state revenue that could have gone for education.
And based on evidence of cost overruns from other states expanding Medicaid, the cost could soar higher. Read what the Denver Post wrote in 2011.”Two years after lawmakers expanded Medicaid to cover poor adults without children, the state is vastly scaling back the program because the number of people eligible for coverage is nearly three times as high as first projected and the cost of insuring them is almost nine times original estimates.
Original fiscal estimates projected that when fully phased in, there would be 49,200 people eligible for the program at a cost of $197.4 million per year. That cost also included an estimate of annual medical costs of $3,50 per person, or about $292 a month. The costs are now estimated to be closer to $900 a month per individual, and if everyone up to 100 percent of the poverty level were covered, the newest estimates show, it would cost $1.75 billion — more than the entire amount of all Medicaid expansions covered under the hospital fee. ”
A potential cost overrun of $1.5 billion is nothing to sneeze at. North Carolina could be on the hook for far more than $3 billion with ObamaCare /Medicaid expansion . Maine and Arizona also busted their budgets with Medicaid expansion. As the Foundation for Government Accountability reported
Enrollment among the expansion populations was much higher and faster than the slow and gradual enrollment that was projected.
Medicaid expansion had little impact on the rate of uninsured. Arizona’s uninsured rate actually increased in the five years after expansion, while Maine’s did not change.
- Per-person costs for the new expansion populations were much higher than projected—particularly for the childless adult populations.
The New Conservative Majority in the Legislature is right. ObamaCare’s Medicaid expansion is a fiscal time bomb that will devour future education funding.