Medicaid Expansion Is Covering And Costing More Than Expected

In a result that was entirely predictable, Louisiana’s Medicaid expansion will cover more people and ultimately cost the state more than expected. John Fail Edwards made Medicaid expansion the centerpiece of his gubernatorial campaign and as soon as he was elected, he implemented this portion of Obamacare.

The AP reports that enrollment has topped 400,000. Earlier estimates were that the state would only enroll 300,000. The program is also costing the state more money than expected because it is bringing out people who would be eligible for normal Medicaid. Those two results were entirely predictable.

Medicaid expansion is also giving an incentive for employers to to drop private health coverage for their employees.

To make things even worse for the state, the entire program is on the chopping block as a part of Obamacare repeal. The Medicaid expansion portion of Obamacare could be repealed. That will leave the state footing the bill for the entire cost of Medicaid expansion.

Given the state’s perennial budget crisis, it is money the state doesn’t have. The state would have to either raise taxes or cut other programs. The state already has enough economic problems and it cannot sustain another round of tax increases on business and individuals.

Bobby Jindal was right on this issue. He continually refused to expand Medicaid because he knew it would be a fiscal disaster for the state. The Legislature needs to act now to get Medicaid expansion under control and to reverse this welfare expansion.

 

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