Brian Blase, Ph.D., is the President of Paragon Health Institute. Brian was Special Assistant to the President for Economic Policy at the White House’s National Economic Council (NEC) from 2017-2019, where he coordinated the development and execution of numerous health policies and advised the President, NEC director, and senior officials. After leaving the White House, Brian founded Blase Policy Strategies and served as its CEO.
Paragon Pic
States Have Large Incentives to Money Launder through ACA Expansion
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In a recent Inside Sources article, I wrote about the problems with Medicaid money laundering:
All these tactics let states rake in massive federal dollars without any state cost and reduce the pressure on state policymakers to responsibly govern and weigh tradeoffs between spending and tax policies.
The Affordable Care Act made Medicaid’s situation much worse. Since Washington covers 90 percent of the costs for able-bodied, working-age adults, every $1 million in fake spending generates $9 million in federal funds. That’s a much higher return on money laundering than for traditional recipients.
This dynamic is demonstrated in this week’s Paragon Pic and is a key reason why Congress must reduce the 90% federal reimbursement for expansion enrollees.
In a recent Inside Sources article, I wrote about the problems with Medicaid money laundering:
All these tactics let states rake in massive federal dollars without any state cost and reduce the pressure on state policymakers to responsibly govern and weigh tradeoffs between spending and tax policies.
The Affordable Care Act made Medicaid’s situation much worse. Since Washington covers 90 percent of the costs for able-bodied, working-age adults, every $1 million in fake spending generates $9 million in federal funds. That’s a much higher return on money laundering than for traditional recipients.
This dynamic is demonstrated in this week’s Paragon Pic and is a key reason why Congress must reduce the 90% federal reimbursement for expansion enrollees.
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President at Paragon Health Institute
Brian Blase, Ph.D., is the President of Paragon Health Institute. Brian was Special Assistant to the President for Economic Policy at the White House’s National Economic Council (NEC) from 2017-2019, where he coordinated the development and execution of numerous health policies and advised the President, NEC director, and senior officials. After leaving the White House, Brian founded Blase Policy Strategies and served as its CEO.