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Medicaid Costs Soar Under Federal Health Care Law, Says Governor Rick Scott

Strategic Insights

— 1 min read

Florida Governor Rick Scott appeared on Fox News Channel's "America's Newsroom" on February 15, 2011, to discuss the mounting costs of Medicaid under the federal health care law. Scott emphasized that the law is "absolutely unenforceable" in Florida and called for a block grant to manage Medicaid costs effectively.

Key Takeaways:

  • Medicaid is the single largest item in state budgets, accounting for 21 percent of state budgets and expected to add 20 million people to state Medicaid rolls under the federal health care law.
  • In Florida, Medicaid spending rose 17.5 percent in the past two and a half years, with the state spending $2.5 billion more in real money over the past 48 months.
  • Governor Scott advocates for a statewide managed care program to control Medicaid costs, but faces challenges from the HHS in implementing this plan.
  • Scott believes that the federal health care law will create dependency on Medicaid and calls for a block grant to allow states to manage their funds effectively.
  • The Governor also emphasizes the need to repeal the existing taxes and fees related to "Obamacare," citing the law's unconstitutionality in Florida.
  • Scott suggests that alternative solutions, such as de-funding the health care law or allowing the Supreme Court to declare it unconstitutional, could provide a way forward for states to manage Medicaid costs.

Statistics:

  • 21% of state budgets are allocated to Medicaid costs under the federal health care law.
  • 20 million people are expected to be added to state Medicaid rolls under the federal health care law.
  • In Florida, Medicaid spending increased by 17.5% in the past two and a half years.
  • Florida spent $2.5 billion more in real money over the past 48 months.
  • The state of Florida expects its total Medicaid spending to shoot past $20 billion this year alone.

Sources:

  • "America's Newsroom" interview with Florida Governor Rick Scott on February 15, 2011.
  • National Association of State Budget Officers.

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