RGA Responds To Baucus Comments

RGA Chairman Bob McDonnell responded to comments made yesterday by Senator Max Baucus (D-MT) regarding the super committee’s ability to save money on Medicaid.

“Republican governors believe entitlement reform is critical to reining in the federal deficit and it is encouraging that a leading Senate Democrat is willing to confront entitlement costs. The RGA has laid out 31 ideas for reforming Medicaid, many of which will save the federal government significant sums of money and we have shared those with the Hill.   However, there is also agreement among GOP governors that tax increases in return for entitlement reform is not a good deal for the economy.  Sen. Baucus’ blended FMAP rate and his idea to reduce or eliminate existing provider fees are retreads and still bad policy ideas.  Republican and Democrat governors agree cost shifting simply does not equal cost savings and true reform of the Medicaid program is long overdue. We are confident that with more flexibility the states can partner with the federal government to spend less on Medicaid while increasing the quality of care.”

Background:

August 30: Republican governors released a report highlighting 31 ideas for reforming Medicaid.

October 24: Republican governors sent a letter to the co-chairs of the super committee, indentifying areas where the federal government can partner with the states to save money; underscoring ideas that should be off-limits; and highlighting areas of agreement and disagreement between Republican and Democratic governors.

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