We don’t have a state budget shortfall in Medicaid or anywhere else

The afternoon Gov McCrory wants to blame Medicaid yet again to distract attention from his decision to reject billions in federal money to cover uninsured North Carolinians.  WRAL wasn’t fooled:

A $262 million shortfall amounts to about 2.6 percent of the $10 billion in state and federal money North Carolina spends on Medicaid in a year.

McCrory noted in his memo that the annual budget has a $200 million reserve and an extra $213 million in unappropriated money. Also, revenue officials have projected that tax collections are $100 million above forecasts, and state agencies have saved $125 million this year.

I can add too.  $513 million surplus and reserve is larger than $262 million.


  1. Frances Jenkins

    March 9, 2013 at 6:06 am

    You are using the poor to demonize leadership in NC. There is a huge problem at DHHS and even the Democrats have known about the shortfall.

  2. Alex

    March 9, 2013 at 7:46 am

    I can’t believe we are spending an amount ($10 Billion) for Medicaid that is essentially half of the total state budget for the entire state of North Carolina. When you look at the total number of recipients, that is an almost unbelievable amount per person ! There has to be a tremendous amount of waste and inefficiency.

  3. gregflynn

    March 9, 2013 at 2:51 pm

    Clue #1: “state and federal”. The NC share of that total is somewhere around 1/4. Most of the approximately 1.5 million covered are mothers and children. Most of the money is spent on elderly and disabled.

    Waste and fraud is a characteristic of human existence and is not unique to government programs. For example Dow Chemical was recently penalized $1.2 billion in a price fixing case while other members of the cartel had already settled with urethane buyers. Long term nursing home care for the elderly and disabled is not cheap. Until we decide to set them adrift on the calving ice shelves of the Arctic we need to take care of them.

  4. Alex

    March 9, 2013 at 6:03 pm

    If you read my statement carefully, it says $10 Billion dollars is being spent on North Carolina Medicaid each year , and paid for by the taxpayers regardless of whether it is state or federal dollars. My point is we can’t pay for the current entitlement load, and here we want to add another 500,000 recipients in just this state alone. The entitlement programs in just a few years will be 60% of the total federal budget, so they will eventually crowd out all other departments the way they are growing. We can’t do it all without running the country into insolvency.

  5. gregflynn

    March 9, 2013 at 6:41 pm

    Actually you said “essentially half of the total state budget for the entire state of North Carolina”. This is misleading.

  6. Adam Searing

    March 9, 2013 at 7:11 pm

    “Alex” is always misleading – and we spend our state budget dollars on what state residents want – if I recall, the GA for the last two years has been a Republican GA and they have been the ones doing the spending!

    Frances – Please refrain from calling others names. I’ve removed your comment that didn’t meet this rule.

  7. Doug

    March 10, 2013 at 8:46 am

    We should only have this discussion when we have paid down the massive debt, at both the state and federal level. That is what you progressives are missing…that we are all in debt up to our ears and fiscally broke.

  8. Alex

    March 10, 2013 at 8:55 am

    Actually, “misleading” for me Adam is someone who continuously advocates for more and more entitlements and giveaways, yet doesn’t have a clue as to how they will be paid for. Borrowing 40 cents of every dollar and printing $3 trillion dollars of phony money hardly seems like the basis for an ever increasing entitlement nation.

  9. david esmay

    March 10, 2013 at 9:34 am

    Once again Doug, Expansionary Austerity is a discredited economic theory, it doesn’t matter how many time the Right squeals about debt and deficits they ran up . In a recovering economy our debt is the least of our worries, addressing chronic unemployment is far more important.

  10. Frances Jenkins

    March 11, 2013 at 12:29 am

    David and others have never played by the rules.

  11. wncgirl

    March 11, 2013 at 4:56 pm

    Where in the heck did all these whiny malcontents like Frances and Doug come from? And can you go back? Soon- please? I do not understand the evil which would allow some to blindly turn away from those in need. My old time religion just won’t let me turn my back on what is right. We found big tax credits for our “small business” owners, the lawyers, my orthodontist, my doctor etc… Why spend money on them? They create very few jobs and use many of our state resources for free- but they do donate political $$ and our new Gov. Pope or um that other guy.. McSomething know how to prime the pump.

  12. Frances Jenkins

    March 11, 2013 at 5:54 pm

    I see WNC girl is drinking the cool-aid from Blueprint.

  13. Alex

    March 12, 2013 at 8:26 am

    She seems very confused Frances !

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