>Obamacare’s Top Three Budget Busters
Alyene Senger February 14, 2012 at 3:40 pm
Obamacare increases unaffordable government spending, which ultimately comes out of taxpayers’ pockets. Here, we summarize three of the most costly provisions of Obamacare:
1. Medicaid Expansion: Beginning in 2014, Obamacare expands Medicaid to include all non-elderly individuals with income below 133 percent of the federal poverty level. The expansion of Medicaid accounts for more than half of the newly insured population under Obamacare. The Congressional Budget Office (CBO) estimates, “By 2022, federal outlays for Medicaid are expected to total $605 billion, more than twice the 2012 amount,” and “about 95 million people will be enrolled in Medicaid at some point in the year.”
As Heritage analysts point out, the expansion will significantly impact both state and federal budgets. Heritage estimates the expansion will “increase state tax obligations by just under $33.5 billion for federal fiscal years (FY) 2014 through 2020. Of that amount, $21.5 billion will be the states’ share of the benefit costs, and just under $12 billion will be the states’ share of the added administrative costs.”
