Staff and wire
Mississippi Gov. Haley Barbour says health care legislation pending in Congress could make Medicaid too expensive, flood the program with new people and could, eventually, force tax increases in the state.
The Republican governor sent a letter to U.S. senators Friday to repeat what he has been saying for months — that a dramatic increase in Medicaid enrollment would strain Mississippi’s budget and could force state officials to increase the sales tax, the income tax or both.
“There is no way for Mississippi to pay the proposed extra costs of Medicaid except by raising our sales or income tax or both,” Barbour said.
Medicaid is a government health insurance program for the needy, aged, blind and disabled and for low-income families with children. It is paid by federal and state dollars.
About one-fifth of all Mississippi residents are already on Medicaid. Barbour says a federal proposal could increase that to one-third.
Jamie Franks of the Mississippi Democratic Party said Barbour is trying to scare Mississippians.
“What the governor doesn't tell you is that it's his failed fiscal policies that have the state facing the highest unemployment and the most devastating budget cuts in decades.”
Ensuring that our most vulnerable citizens have access to affordable health care should be a top priority of any state leader. If that means making tough decisions, then so be it. But we would not be facing the budget cuts that have ravaged our state or talking about any tax increases if Gov. Barbour had not failed to create jobs and improve our economy.
U.S. Rep. Gregg Harper said by expanding the Medicaid program to all individuals earning up to 150 percent of the federal poverty level, the bill will push an unfunded mandate averaging $200 million in additional costs for the next 10 years to fund Mississippi’s annual state share. States will pay a total of $34 billion in matching funds over the next decade. The House passed version expands the entitlement program to 150 percent of the federal poverty level while the Senate is pushing for 133 percent.
“I believe health care reform should help states, families and small businesses address the problem of skyrocketing costs, not raise premiums for private policy holders and burden states with unfunded mandates,” said Congressman Gregg Harper.
The Associated Press contributed to this report.
