Possible Cuts to the State Healthcare Budget

By: Rachel Calderon
By: Rachel Calderon

Gov. Jennifer Granholm and many Michigan residents agree a possible $140 million cut to the state's healthcare budget is a bad idea. One possibility is reducing Medicaid: a program providing coverage to more than one million Michigan seniors, persons with disabilities and children in low income families. A hospital currently receives 70 cents for every $1 spent to treat a Medicaid patient. Any reduction to that state reimbursement could mean higher costs to non-Medicaid patients.

"They end up paying more for healthcare because we have to somehow make up for that lost revenue," Joe Damore, CEO Sparrow Hospital.

Both Sparrow Hospital and Ingham Regional Medical Center say they try to provide several opportunities for the community to become more educated and healthier patients, but those programs would certainly be cut.

"Our ability to update our medical equipment, provide free health screenings to the community, those are all things that would have to take a back seat," Denny Litos, Ingham Regional Medical Center.

As the cost to stay healthy continues to rise, many including the governor say they'd like to be able to help with those costs, but by how much remains to be seen.


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