ON-Lion Letter
States are under intense pressure to expand their Medicaid programs.  But they should reject Obamacare's government-centric expansion and instead develop their own innovative solutions.

An April paper from the Galen Institute in Alexandria, Va., written by its visiting fellow Chris Jacobs, offers examples of programs that several states have implemented recently to modernize and enhance access to care.  Rather than putting more people into a broken Medicaid program, these states show how market incentives can be used to create health solutions that work for patients and taxpayers.

"The reasons why states should NOT participate in Obamacare's Medicaid expansion are well-documented:  Medicaid patients have worse health outcomes than patients with other forms of insurance, and in many cases worse health outcomes than the uninsured; Medicaid beneficiaries often face difficulty finding doctors who will treat them; and by increasing federal spending funded by massive tax increases, a Medicaid expansion will destroy jobs rather than create them," according to Jacobs' "21st Century Health Care Options for the States."

"Less well known, however, are the innovative programs states have utilized over the past several years to modernize and enhance their health sectors, expanding coverage and improving quality of care while lowering costs," his Galen Institute paper continues.  "Rather than utilizing Obamacare's top-down, government-centric approach of putting more people into a broken Medicaid program, these policy solutions seek to transform Medicaid using market incentives to create a health system that works for patients."

The paper provides examples from Florida, Indiana, Rhode Island, and Texas, and mentions other action being taken in New York, North Carolina, Utah, and West Virginia.

The Lynde and Harry Bradley Foundation in Milwaukee substantially supports the Galen Institute.
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