Thursday, January 1, 2015

There Ain't No Such Thing As A Free Lunch

We all have heard that phrase. The promise of free goods or services, that leads to high costs and fees on the backend. This is the same principle our Governor needs to heed. There is pressure on our legislature, from the governor's mansion, to expand Medicaid. 
The Expansion would be "free" for the first three years. Then after three years is up the cost is shared by the State and Federal Government. The ratio of the burden is 90-10. 
This sounds like a win for North Carolina. The Governor, on the eve of his re-election, can take credit for poor folks getting health benefits. No cost for three years. Then most of the cost is paid by federal dollars. What could go wrong? 
Where do I start? Let's start at the cost to our Federal government. The expansion of Medicaid, provided under the Affordable Care Act, is going to continue to plunge our country deeper into debt. We are 18 trillion dollars in debt and this expansion is unsustainable. 
Secondly, the expansion will obviously increase the amount of North Carolinians on Medicaid. The money will increase but so will the cost. 
The percentage, that will only go up, of the budget share for Medicaid is around 16-17%. The expansion will increase this percentage exponentially after the three year subsidization ends. 
This is a hook to get more folks and state  governments on government welfare. This move is bad for North Carolina in the long run. I hope that Governor McCrory will think with his principles and not his reelection dreams. If not, I hope our legislature will not give in. Say no to expanding Medicaid in North Carolina. 

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