When the Arkansas General Assembly went into session in January 2013, they faced a dilemma. Under Obamacare, 250,000 more Arkansans, the working poor, had become eligible for Medicaid, the government health care program for the poor and disabled. However, the Legislature was able to devise an innovative health care plan, the Private Option, for those people
Instead of Medicaid, those Arkansans can now secure regular health insurance from companies such as Blue Cross. For three years the total premiums are paid from government funds normally received for Medicaid costs. Eventually, the state must pay the same percentage (10 percent) of those premiums as it would pay for the highly abused Medicaid care. However, now there's control over the cost through the regulations and oversight of insurance companies, and hospital emergency rooms aren't being clogged up with those needing uncompensated care.
This program is also proving to be a great benefit for doctors and especially hospitals. Medicaid reimbursements have been cut to the bone, so it will prevent the closing of some small hospitals. It's reported that even though hospital patient care is up, hospitals' uncompensated cost write-offs are down 56 percent.
A group of state legislators is determined to kill the Private Option, saying it's "Obamacare," or it will cost too much (more than Medicaid?). This will be the most highly debated issue when the Legislature convenes in January, and with the recent election, the program is in real peril. A critical question: What's their plan for almost 200,000 people who will have had health insurance for two years? Considering all this, our insightful governor-elect may not be in favor of eliminating the program at this time.
It's reported Asa has chosen Duncan Baird to be his budget director. This is gratifying considering what was done to Duncan in the primary (which I know to be true) because he had voted for the private option. He is fully qualified for a high office involving finance -- which, unfortunately, can't be said for another individual who will be moving into such an office.
Barbara Foreman
Siloam Springs
Commentary on 12/12/2014