RIPR News
2:53 pm
Wed December 14, 2011

Global Medicaid waiver savings less than anticipated

Providnece, RI – Rhode Island grossly overestimated how much money it would save from the overhaul of its Medicaid program. That's according to an independent report evaluating the effect of the state's so called global Medicaid waiver.

When the state agreed to cap its Federal Medicaid funds in exchange for more flexibility over how it could spend that money, it expected to save nearly 70 million dollars in 2009. Three years later, a report by the Lewin Group says total savings are only around 23 million dollars.

Steven Costantino, the Secretary of the Executive Office of Health and Human Services, says the state should have taken a closer look at those predictions. "The vetting on the numbers on the global Medicaid waiver could have been better and should have been better," he says.

But Costantino says the waiver was still worthwhile because it allowed seniors to get the care they need at home. It's also allowed the state to get federal funding for programs Rhode Island used to pay for on its own.

More details
Read the Lewin report here

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