Medicaid accounted for about 22 percent of total spending this past fiscal year, which was the single, largest portion of total state spending.
However, there were 12 states that made mid-year cuts to the program, totaling roughly $470 million.
States that made cuts include Oregon ($188.2 million), California ($100 million) and Washington state ($52.7 million).
Total Medicaid spending is estimated to increase by 11.2 percent for the 2011 fiscal year and 8.3 percent over the next 10 years. Medicaid enrollment is projected to increase 17.3 percent between 2010 and 2012.
Federal funds toward Medicaid have increased thanks to the American Recovery and Reinvestment Act of 2009, but governors’ proposed budgets for 2012 include a decline in Medicaid spending of 2.9 percent.
Some of the most popular ways states have aimed to contain costs include reducing provider payments, enhancing program integrity efforts, limiting spending on prescription drugs and limiting benefits.
Read the NASBO Spring 2011 Fiscal Survey of States report.
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