I have my doubts that the free market will improve Medicaid, since its profit motive will drive up administrative costs (see point #7 here). Johnson doesn’t offer any evidence to support his assertion that Medicaid “doesn’t deliver the intended quality of care to beneficiaries” – the only statistics he cites have to do with money. This, combined with all his harping about the budget, might lead one to believe he’s obsessed with money.
Besides that, however, it’s really annoying how vague Johnson is – he never mentions any legislation he has written or supported in relation to the topic at hand, nor does he ever suggest specific solutions to the problems he identifies.
Thank you for taking the time to write me regarding Medicaid. Medicaid is facing a real crisis as states and the federal government struggle to keep up with costs and access to care gets worse. It is becoming a prohibitively expensive program that doesn’t deliver the intended quality of care to beneficiaries.
Cost control mechanisms that lead to decreasing provider participation limits access for participants and contributes to lower quality care without controlling costs. Between 1990 and 2010, national Medicaid spending increased from $72 billion to more than $400 billion. Right now, only about half of all doctors even accept new Medicaid patients because many states reimburse Medicaid providers at extremely low rates. The solution lies in providing states far greater flexibility in administering Medicaid and utilizing free market principles to improve quality and control costs.
Thank you again for taking the time to share your thoughts. It is important for me to hear the views and concerns of the people I serve. Since taking office, I have received over 300,000 pieces of correspondence and have had over 150,000 people participate in live forums and telephone town hall meetings. Please feel free to contact me in the future if I can further assist you or your family. It is an honor representing you and the good people of Wisconsin in the U.S. Senate.
Sincerely,
Ron Johnson
United States Senator