A Joint Legislative Audit and Review Commission report released Monday highlighted the inefficiencies of Virginia’s Medicaid program. The report showed that Medicaid general fund spending grew by nearly 9 percent annually over the last 10 years, while total general fund spending increased by just 1.3 percent. Medicaid spending comprised 22 percent of the general fund budget in FY16, up from 14 percent in FY07. The JLARC report outlined 36 recommendations to improve efficiency and manage spending.
“Today’s JALRC report is proof that Virginia’s Medicaid program is a broken system in need of significant reform,” said House Speaker William J. Howell (R-Stafford). “Millions of taxpayer dollars are left on the table every year due to inefficiencies within the Medicaid system. It is no surprise then that Medicaid continues to grow at an alarming rate. Now is the time to implement serious reforms in order to rein in spending. Today’s JLARC report shows that Virginia’s decision not to expand Medicaid under the Affordable Care Act is the right decision.”
“The JLARC report validates the House’s position to focus on reforming Medicaid not expanding it,” said House Majority Leader Kirk Cox (R-Colonial Heights). “According to JLARC, Virginia taxpayers could have saved over $41 million annually. This type of waste is unacceptable. We must look at ways to reform Medicaid in order to protect precious taxpayer’s dollars. The General Assembly will use the JLARC recommendations to introduce reform legislation this coming session.”
House Appropriations Committee Chairman S. Chris Jones (R-Suffolk) said, “Virginia’s Medicaid program continues to grow at an unsustainable rate. The more resources consumed by Medicaid put more pressure on other areas of the budget like education, transportation, and public safety. The General Assembly will make the necessary reforms to ensure that taxpayer dollars are spent efficiently and effectively.”
“I want to thank JLARC for their report today on Virginia’s Medicaid program,” said Chairman Bobby Orrock (R-Caroline). “At a time when we are facing significant budget pressures, it is vitally important that we ensure state programs like Medicaid are run as efficiently as possible. This report will guide the General Assembly’s deliberations on how to reform Virginia’s Medicaid program.”
The JLARC presentation can be found here.
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