The benefits that Texas would experience by accepting the Medicaid expansion are enormous. Texas has the highest uninsured rate in the country. There are about 6 million Texans who are uninsured. By accepting the Medicaid expansion, at least 1.5 million Texas will obtain health care coverage.
The fiscal benefits are also quite extensive. Cities and counties will see reductions in indigent care costs. Hospitals will see their uncompensated care costs reduced. And those already insured with private coverage will not see increases in their premiums that occur due to uncompensated care.
Finally, in budgetary terms, the Medicaid expansion is a great benefit. In fact, per the Perryman Group, every $1 that Texas spends on the Medicaid expansion will yield $1.29 in state government revenue during the first 10 years of the expansion. In essence, the Medicaid expansion is a net budgetary positive for Texas.
In summary, this just makes sense.
Both the Texas Hospital Association and the Texas Medical Association have come out in support of the Medicaid Expansion. We will bring our Federal dollars back to our state. With this in mind, I urge Gov. Perry and the legislature to accept the Medicaid Expansion. It is right for Texas.
Vikas Kumar Verma