States facing sudden drops in tax revenue amid the coronavirus pandemic are announcing deep cuts to their Medicaid programs just as millions of newly jobless Americans are surging onto the rolls
The looming crisis facing Medicaid programs “is going to be the ’09 recession on steroids,” said Matt Salo, the head of the National Association of Medicaid Directors. “It’s going to hit hard, and it’s going to hit fast.”
Medicaid naturally faces heightened demand as economic conditions worsen. But that leaves states facing more need at the same time that they have less money. by as much as 567,000, Republican Gov. Brian Kemp and legislative leaders have instructed every state agency to prepare for 14 percent reductions across the board.in aid to state and local governments and support safety net programs, which could alleviate pressure on states to make deep cuts to health care during a pandemic. Some Republican lawmakers have questioned the need for more aid, after Congress has shoveled out trillions of dollars in rescue funding.
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