A drop in enhanced federal funding for Medicaid made states increase outlays for the program by an estimated 16.2% in fiscal 2012, according to a new joint report by the National Association of State Budget Officers and National Governors Association.
Medicaid spending increased 20% in fiscal 2012, representing the single largest portion of total state spending. This, combined with federally mandated Medicaid eligibility expansions, puts state budgets in a tight spot, a new national study reveals.
Nearly all states are enacting Medicaid cuts for fiscal year 2012 to deal with overwhelmed budgets and a slow economic recovery, according to a new report by the National Association of State Budget Officers and the National Governors Association.
Long-term care providers delivered an impassioned, carefully constructed argument for stable Medicaid funding Monday as the National Governors Association winter meeting closed on a loud note. The expiration of $40 billion in emergency Medicaid funding on June 30 will exacerbate already weak Medicaid funding levels, provider advocates said.
With Arizona and other states already seeking to drop coverage for thousands of Medicaid recipients, governors are asking the federal government for help in dealing with Medicaid budget shortfalls.