Most Medicaid Workgroup Recommendations Simply Shift Costs

While the Governor and her "Rethinking Medicaid Workgroup" appropriately are looking for ways to trim costs from Rhode Island's unsustainable Medicaid expansion, most of the recommended "savings" appear to consist of mere cost "shifting", according to an analysis published today by the RI Center for Freedom & Prosperity.

About 57% of the proposed reforms shift costs to the private sector and to federal taxpayers, with another 27% of the forms categorized as speculative. The Center cautions lawmakers about counting on reductions to actual state Medicaid spending when it comes to the budget planning process.

"The majority of these recommendations, if fully implemented, would likely shift costs to healthcare providers and consumers as well as to federal taxpayers, which may have an adverse impact on our local economy," commented Mike Stenhouse, CEO for the Center. "Taking the easy way out by having someone else pay the bills is not true reform. Tough decisions to truly control actual Medicaid costs are what is required."

A chart and additional details of the full analysis can be viewed on the Center's website.