Medicaid In Texas: Should It Stay?
DALLAS (CBSDFW.COM) - Eric Rudd and his 3-year-old daughter spent the afternoon at parkland hospital. It's only fitting, because both Eric and Parkland share a common need; Medicaid.
Eric depends on Medicaid to pay for his daughter's medical bills. "Some of the stuff that she needs, we're not able to afford it. Some of the medicine that she has is too high, but Medicaid pays for everything."
Parkland relies heavily on Medicaid to cover its budget since the hospital is a safety-net provider for many of the area indigent.
"If we opted out without a replacement that was as satisfactory, it would be disastrous for care provision for those vulnerable populations," says Parkland CEO Dr. Ron Anderson.
A study released today by the Texas Health & Human Services Commission and the Department of Insurance examined that very question. What would happen if the state opted out of Medicaid?
Click here to read the full report.
Texas currently ranks number one for medically uninsured residents. One in four Texans do not have insurance. And in Dallas, one in three are without coverage. The report found that another 2.6 million Texans could become uninsured if the state opted out.
"If you add 2.6 million more people on top of this: that's not a straw, that's the brick that broke the camel's back," says Dr. Anderson.
Most of those losing insurance would be children, the poor and the elderly on long-term care. The report says city and county governments could end up footing the bill to cover those who are suddenly left uninsured.
The federal government pays roughly 60% of the state's Medicaid bills. Texas picks up the other 40%.
Some lawmakers say opting out of that 40% will cut billions from the state's massive budge deficit. They would like to see the state run a more efficient cost-effective insurance program.
In a written statement, Governor Rick Perry says, "The current Medicaid system is financially unsustainable. Without greater flexibility and the elimination of federal strings, Medicaid will strangle state budgets and taxpayers."
