Where Florida’s money is spent & About expanding Medicaid in Florida
Bottom Line: Yesterday I brought you the update that the group attempting to have Medicaid expansion added to the ballot next year for Constitutional consideration is only about 13,000 signatures shy of reaching Florida’s Supreme Court with their proposal. If you’re not entirely familiar with the debate, it’s been one years in the making going back to the passing of the Affordable Care Act nearly a decade ago. The reason why Florida didn’t accept the Medicaid expansion originally and hasn’t since is straight forward. It’s already Florida’s number #1 expense and after three years the entire financial burden for the expansion falls to the state. Surprised about the #1 expense thing?
Here’s a look at where Florida’s money goes:
- 32% Medicaid
- 26% Education
- 12% Transportation
- 4% Corrections
- 26% Everything else
Huge right? One out of every three dollars from the state already goes to provide healthcare for the poor. That’s because 16% of Florida’s population is on Medicaid. So, every 1% of Florida population that’s on Medicaid consumes 2% of the state’s funds. What would Medicaid expansion mean? The current estimate is that an additional 525,000+ Floridians would end up on it which is about 3% of the population. That would require 6% of the additional revenue of the state to provideit.
That’s where the conversation should begin. First, should 1 in 5 Floridians really be on Medicaid paid for by the other 80% that also have to pay for their own healthcare? Second, where do you want that 6% to come from? It’s larger than the entire corrections budget. Half of the transportation budget. Would the education establishment – which is literally the only one large enough to take that kind of hit be accepting of it? Before anyone advocates for this, you’d better have answers to that question. Without dramatic cuts to education in Florida there’s no way to pay for it without dramatically raising taxes. The exact reason Florida’s as successful as it is currently.