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Wednesday, June 29, 2011

Republicans proposed cuts to state Medicaid program, could cost 50,560 jobs in Michigan

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U.S. House Republicans to Medicaid programs
could cost Michigan over 50,000 jobs.
This is a except from an article at the Oakland Daily Tribute. To read the entire article, please click this link...

Medicaid cuts proposed by House Republicans, if implemented, could eliminate the jobs of 50,650 Michigan residents, according to a study by Families USA, a national health care consumer organization.

The study stated that the cuts could reduce business in Michigan by $5.7 billion.

Titled “Jobs at Risk,” the report focuses mainly on how Medicaid cuts would damage the state’s economy, although the report makes clear that the human toll of such cuts is far wider, affecting the health and well-being of low-income and middle-class families, children, seniors and people with disabilities.

“Every federal Medicaid dollar that flows into a state stimulates state business activity and generates jobs,” Ron Pollack, Executive Director of Families USA, said. For Michigan, cutting Medicaid funds not only hurts seniors, people with disabilities, and children who count on the program as their lifeline, but it also results in fewer jobs and stunts the economic recovery," he stated.
The budget proposal adopted by the U.S. House of Representatives, sponsored by U.S. Rep. Paul Ryan (R-WI), calls for cuts in federal funding to current state Medicaid programs of 5 percent in 2013, 15 percent in 2014, and 33 percent in 2021.

Other Republican-sponsored proposals in Congress put global caps or deficit triggers on spending that would likely result in similarly sized cuts to Medicaid, and a successful effort to repeal the Affordable Care Act would cut Medicaid by an additional 13 percent, for a total of a 44 percent cut to Medicaid in 2021.

Implementing a 5 percent cut in Medicaid spending in 2011 would:

Cost Michigan nearly $397.1 million in federal Medicaid dollars, and put at risk almost $861.9 million in business activity and 7,670 jobs...

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