FourFourThree: FourFourOne: Illinoi’s $5.6 billion Medicaid program faces an uncertain future article FourFive: FourFiveOne: Three years ago, Illinois’ Medicaid program faced a $1.6 trillion budget hole.
Illinois was the only state in the nation to face a $5-billion shortfall when the state legislature passed its $4.9 billion budget last fall.
But the state’s new Republican governor, Bruce Rauner, took on the role of Medicaid’s chief architect, and his $2 billion budget plan to address the shortfall includes a major overhaul of the program.
The overhaul would allow states to expand Medicaid to cover more people and would also eliminate the requirement that all new enrollees be covered by Medicaid.
More broadly, Rauners proposed $3 billion in new spending to create a statewide system of health care providers, which he said would save the state money on administration and administrative costs and cut the state out of billions of dollars in Medicaid payments to doctors and hospitals.
“Our goal is to reduce the cost of health services by reducing administrative costs, not increase them,” RaunER said in a statement.
The Illinois General Assembly approved the governor’s plan on Wednesday.
Rauners’ plan includes some changes, but he said they are needed to ensure that Illinois’ state-run health care system is working well.
The governor said he is proposing a total of $2-billion in savings for Illinois’ $6.3 billion Medicaid system.
Health officials say the proposed savings will help the state deal with the state budget crisis.
But many are concerned that the cuts will push the state into a recession.
Last year, the Illinois Department of Public Health reported that Illinois faced a staggering $14.2 billion deficit in its Medicaid program, and the state faces the largest Medicaid shortfall in the country.
Illinois is facing a $3.3-billion deficit in the next budget, but Raunerts plan would save $2 million a year by removing the requirement to cover all new Medicaid enrollees by 2019.
It is also a $500 million plan to create the statewide system, which Raunerman is calling a “single-payer” system.
That means all residents in Illinois would be covered.