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AFP State Director Stefano Says When All Smoke Clears, Medicaid Expansion Costs the State Billions and Expands a Failing Program

April 23, 2013

Washington Crossing, PA – Jennifer Stefano, State Director of Americans for Prosperity – Pennsylvania, stated today’s Independent Fiscal Office’s focus on “savings” must be seen in the context of the billions expanding Medicaid will cost the Commonwealth.

“Today’s IFO report rightly identifies that the federal government uses an early infusion of borrowed federal dollars to entice states to buy into expanding Medicaid,” stated Jennifer Stefano, State Director of Americans for Prosperity-PA.  “After adding up to one million new Medicaid recipients in Pennsylvania, the federal government will pull back after three years, leaving our taxpayers on the hook to the tune of billions of dollars.  These dollars will come at the expense of our schools and the safety of our roads and bridges and/or in the form of higher taxes, all of which will lead to fewer jobs and opportunities for Pennsylvanians. We must not head down this downwardly spiraling path.”

President Obama indicated in his 2013 budget that the federal government may not uphold its 90 percent matching promise for the newly eligible, leaving Pennsylvanians to pay from $2.8 billion (according to the Kaiser Family Foundation) to $4 billion (according to Gov. Corbett’s office) in new state spending for the expansion through 2022. Further, the ability of the federal government to keep its $800 billion promise to the states to expand Medicaid throughout the country over the next decade is very much in doubt given the trillion dollar plus deficits the federal government has been running the past five years.

Stefano added, “Governor Corbett is wise to view the federal government’s promise with a great deal of skepticism and not to commit our state to expanding a failing program, in which one-third of doctors refuse to see new Medicaid patients and in which patients often have worse health outcomes than those who have no insurance at all.  We applaud Governor Corbett’s stance so far and encourage him to remain committed to opposing Medicaid expansion on behalf of our working families.”

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For interviews with Jennifer Stefano, please contact Randy DeSoto at 267-838-2379 or email at rdesoto@afphq.org.

Americans for Prosperity (AFP) is a nationwide organization of citizen-leaders committed to advancing every individual’s right to economic freedom and opportunity. AFP believes reducing the size and intrusiveness of government is the best way to promote individual productivity and prosperity for all Americans.  For more information, visit www.americansforprosperity.org

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