The GAO issued the report, which included a survey of 42 state budget directors. Most of the budget directors said three aspects of the Medicaid expansion, which is part of the Patient Protection and Affordable Care Act, will contribute to higher costs:
• The administration for managing Medicaid enrollment.
• The acquisition or modification of information technology systems to support Medicaid.
• Enrolling previously eligible but not enrolled individuals in Medicaid.
Overall, 38 of the 42 state budget directors said a bigger cost will be associated with their budgets for fiscal year 2012 through FY 2014 due to managing their Medicaid enrollments.
States said CMS should issue more guidance on the following areas to help with their budget outlines: Medicaid benefits packages, Medicaid eligibility determination using the modified gross income measurement and the Federal Medical Assistance Percentage (which determines how much federal Medicaid money states receive).
“It has been a little over two years since the enactment of PPACA, which included significant changes to the Medicaid program,” according to the report. “The ultimate success of the implementation of these changes will depend heavily on both federal and state actions…Concerted and cooperative efforts on the part of CMS and the states will be critical to meeting the implementation deadlines for the Medicaid expansion.”
More Articles on Medicaid Expansion:
Reorganizing the Healthcare Buffet Line: Q&A With Scripps Health CFO Rich Rothberger
Medicaid Expansion Concerns Amid Looming DSH Cuts: Q&A With NAPH CEO Bruce Siegel
Case Study: How Pennsylvania Hospitals May Fare Without Medicaid Expansion
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