A record 48 million Americans were enrolled in Medicaid last year, which "underscores the growing role of the government in healthcare, a polarizing issue in this year's midterm congressional elections," the Associated Press reports.
The figure comes from a new study by the Kaiser Family Foundation, which reports 6 million more people entered Medicaid since the beginning of the recession, swelling Medicaid participation to a record 15.7 percent share of the U.S. population.
The healthcare reform law is expected to add 16 million people to the Medicaid rolls by 2014, but even before that, in 2011, healthcare spending by federal, state and local governments is expected to overtake private spending.
Enhanced federal aid to end next year
Since fall 2008, the federal government has provided more than $100 billion in enhanced Medicaid funding for states, which have been struggling with major budget problems. The enhancements are due to run out next June and if Congress does not extend them again, states would face increases of 25 percent or more in their share of Medicaid costs.
This year, even with the federal enhancements, Kaiser said states have taken a number of steps to curtail Medicaid spending.
For fiscal year 2011, ending June 2011, states budgeted for a 7.4 percent Medicaid spending increase — a slightly slower rate of growth, following expectations that enrollment growth will slow to 6.1 percent.
Read the Kaiser study executive summary on Medicaid (pdf).
Read the Kaiser briefing on Medicaid
http://www.kff.org/medicaid/8105.cfm
Read more on Medicaid:
- 28 States Plan to Cut Medicaid Payments in FY 2011
- Big Medicaid Cuts Possible Next Year, With Federal Support Due to End
- Debt Commission Could Target Medicare and Medicaid for Spending Cuts
The figure comes from a new study by the Kaiser Family Foundation, which reports 6 million more people entered Medicaid since the beginning of the recession, swelling Medicaid participation to a record 15.7 percent share of the U.S. population.
The healthcare reform law is expected to add 16 million people to the Medicaid rolls by 2014, but even before that, in 2011, healthcare spending by federal, state and local governments is expected to overtake private spending.
Enhanced federal aid to end next year
Since fall 2008, the federal government has provided more than $100 billion in enhanced Medicaid funding for states, which have been struggling with major budget problems. The enhancements are due to run out next June and if Congress does not extend them again, states would face increases of 25 percent or more in their share of Medicaid costs.
This year, even with the federal enhancements, Kaiser said states have taken a number of steps to curtail Medicaid spending.
- A record 20 states have restricted benefits, and 14 plan to do so next year. Restrictions include medical imaging, therapies, supplies, personal care and dental coverage.
- Thirty-nine states cut or froze payments to hospitals and other providers, and most states plan more cuts next year.
- Twenty states lowered payments to physicians alone this year and 12 plan to do so next year. In many states, the rates are already so low that "it's hard to find doctors who will accept Medicaid," the AP said. Eighteen states placed limits on long-term care services, and 10 plan additional limits next year.
For fiscal year 2011, ending June 2011, states budgeted for a 7.4 percent Medicaid spending increase — a slightly slower rate of growth, following expectations that enrollment growth will slow to 6.1 percent.
Read the Kaiser study executive summary on Medicaid (pdf).
Read the Kaiser briefing on Medicaid
http://www.kff.org/medicaid/8105.cfm
Read more on Medicaid:
- 28 States Plan to Cut Medicaid Payments in FY 2011
- Big Medicaid Cuts Possible Next Year, With Federal Support Due to End
- Debt Commission Could Target Medicare and Medicaid for Spending Cuts