Today, Stateline released an article detailing a program shifting veterans’ costs from the state to the federal government. States are able to save money while veterans continue to receive services, often at a better level.
According to the article, Washington State began a program in 2003 that moved 9,500 veterans from the state’s Medicaid rolls to the Veterans Affairs rolls. This allowed Washington to avoid paying $27 million in health care bills.
This program does not result in less spending on health care; the cost is simply shifted from the state governments to the federal government. Arizona, California, and Texas are all working to create a program that replicates what Washington has done.
It is estimated that for every $1 spent on the program, the state gets back $8. Montana saved $900,000 in the first year. Maryland expects to save $750,000 its first year while California expects to save $250 million.
Click here to access the full article.