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Perdue: Medicaid spending way over budget


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Gov. Beverly Perdue
Gov. Beverly Perdue

Gov. Beverly Perdue said Tuesday that North Carolina's Medicaid program is breaking the budget the legislature gave state officials this summer.

The government health insurance program for low-income children, older adults and the disabled was at least $150 million over budget through the first quarter of the fiscal year, Perdue said.

"It's a real struggle right now," Department of Health and Human Services Secretary Lanier Cansler said.

More people are enrolling in Medicaid as the unemployment rate stays high, Cansler said, and the state also has had to spend about $52 million in Medicaid money to respond to the swine flu pandemic.

The number of people expected to enroll in Medicaid this year will be about 18,000 more than state officials projected, he said. The average person receiving benefits is using 4 percent more services than budgeted, he said.

The enrollment and spending trends could require lawmakers to add $72 million to the budget, officials said.

Cansler said about half of the cost overruns are because of delays in federal approval of some cuts proposed by the state to save money.

"We're trying to reduce the budget by $1.5 billion in a year we would normally have grown the budget by $1 billion," he said.

Perdue said she plans to go to Washington, D.C., to look for financial help.

"We have consistently asked them to continue to hold the states harmless for Medicaid," she said.

If the federal government reduces its assistance to Medicaid next fiscal year, however, Cansler said it could cost the state another $500 million.

Medicaid recipient Teri Geraci said she's hopeful that the state can find the money to keep the insurance program running.

"It's essential. We wouldn't be doing OK without it," said Geraci, who fled New Orleans with her two daughters after Hurricane Katrina.

RELATED TOPICS: Beverly Perdue, Hurricane Season, Job Losses, Washington County

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I work in the healthcare field, and I honestly have to say medicaid dollars could be saved if recipients would stop calling 911 for an ambulance ride to the ER for frivolous complaints. For instance, we see many, many "frequent fliers" who call 911, go to the ER and are seen for fever, sore throats, etc, "just to get checked out". We've seen people go to the ER because they "can't sleep". You'd be amazed at the reasons people will call 911!

If Obama care passes medicaid will increase hundreds of millions for all states. That has been confirmed by analysts. whatusay

If Obamacare passes, taxes start in 2010 even though the full bill doesn't take effect until 2013. The Aninted One doesn't want to run for reelection when the smally stuff has firmly hit the fan.

a LOT of teachers will go, that you can count on, as for Bev, she'll go, right up to Washington and beg for more handouts. Then, when they have no more to give her redneck self she's going to come after us with huge tax increases and tell us, "it's the only choice I had". In the meantime, teachers better start looking!

Just wait for the Obama-Care plan that will shift more and more costs to the States. NC will end up like California with all the illegals moving to NC.

I'd like to let you all know also that it's hard to demand drug testing when some of them that are on SSI and medicaid are on it because of alcohol or drug abuse as it is a legit reason to draw the money. Maybe they should change the law that people with addictions are not eligible. but as it stands now the law allows it. I bet that surprised some of you.

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