Commentary: NM can’t afford to get it wrong when it comes to Medicaid

From NM Politics.net - By Sireesha Manne - Governor-elect Martinez will soon have to deal with the daunting fiscal challenges facing New Mexico while honoring her promises, most notably to protect Medicaid from further program cuts. Her commitment to Medicaid is a wise one: few policymakers doubt the powerful and vital role of Medicaid in New Mexico’s economy and health care system. The program has been a saving grace for the state, providing health care coverage to more than half a million people. The program also brings $3 billion in federal dollars into our economy that supports more than 50,000 jobs, mostly in the health care sector. Yet there has been considerable misinformation in the public eye due to recent news coverage about the costs of the program and about its services in comparison to the programs in other states. Lest New Mexico shoot itself in the foot by taking a slash-and-burn budget approach to a program that has helped the state weather the continuing economic storm, it’s critical to set the record straight about Medicaid.
• Medicaid is facing a $360 million shortfall primarily because the state borrowed a huge sum of money from the program that has not been returned. When New Mexico received federal stimulus funds for Medicaid in 2009, the state removed approximately $200 million in state general funds from the program and used it to bail out other parts of the budget in a time of economic crisis. The federal stimulus funds will expire by the end of this fiscal year, requiring the state to replace the money it borrowed from Medicaid. The Legislature should repay the loan now as it always intended to do. Read more

Commentary: NM can’t afford to get it wrong when it comes to Medicaid