West Virginia’s Medicaid program is facing a growing financial shortfall that could lead to cuts in services or eligibility. (zimmytws | Getty Images)
West Virginians deserve to know the truth about our state’s Medicaid program. While Medicaid funding is facing a shortfall — it is not due to inherent program flaws.
The Republican threat to health care is real. And if they get what they want? This is the real five alarm fire waiting to be ignited. It will be catastrophic for West Virginia — our children, our families, our labor force, our schools, our small businesses, our hospitals and our economy.
The fact is, under the previous administration, Medicaid funds intended for health care needs were directed to fill other budget holes and to pay for unfunded tax cuts. As health care costs increased across the country,
West Virginia’s Medicaid budget remained flat.
Federal funds allocated for Medicaid have been systematically diverted over the years leaving our most vulnerable citizens at risk. This isn’t speculation; it’s a harsh reality that demands our immediate attention and action.
State officials have been less than forthcoming about these financial maneuvers, often obscuring the true state of Medicaid’s finances in public statements. As a result of these practices, West Virginia’s Medicaid program is facing a growing financial shortfall that could lead to cuts in services or eligibility.
It is not the job of West Virginia’s legislators to reduce the federal deficit and execute the Trump agenda or Project 2025. Their job and that of the governor is to pass a sustainable and responsible budget that looks out for the best interests of West Virginians.
Essentially one-third, or more than 500,000 West Virginians get their health care coverage from Medicaid. It provides the largest source of coverage for children’s health care, long-term care for seniors in skilled nursing homes, birth coverage and substance use treatment. It also provides coverage for working West Virginians in low wage jobs whose employers are unable to provide health care coverage to their employees, which, face it, is the situation for a lot of West Virginians, especially those cobbling together several part-time jobs to pay the bills.
Medicaid spending in West Virginia exceeds $500 billion annually. Over $400 billion — 82% of Medicaid funding — comes from federal dollars. This is a remarkable return on investment in health care for residents of the Mountain State.
When the state Medicaid budget is cut, it exponentially reduces the future federal share of funding as well, driving an even bigger hole in the state budget.
Prior to Medicaid expansion, hospitals absorbed much more uncompensated care and had the added burden of emergency rooms being used by people with untreated chronic disease. These folks could not afford to go to the doctor without health insurance. Consequently, manageable chronic diseases turned into life threatening situations that cost multiple times more to treat.
Rather than have 5% to 6% of an historic low of uninsured population we now have, West Virginia would return to an uninsured rate of 19%. An uninsured rate approaching 20% of a state’s population is good for no one.
As lawmakers consider budget cuts, we urge them to think about where people will go for care. Afterall, Medicaid is a major payer to all of West Virginia’s hospitals — rural and urban — doctors, nurses, nurse practitioners, physicians assistants, free and charitable clinics, community health centers, long-term care facilities and other providers.
Don’t be fooled by misleading headlines and news that Medicaid is the reason our state budget is facing a shortfall. Our Medicaid program is in jeopardy because West Virginia lawmakers lack the vision and willingness to shore up the state’s largest health insurance program. It’s time for West Virginians to demand better. Our health and well-being and the future of West Virginia’s economy — not to mention our most vulnerable — neighbors depend on it.
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