Public Plan Opt-Out Doesn’t Sway Governor

The Congressional health care plan’s so-called “opt-out provision” isn’t taking Governor Phil Bredesen’s focus off of proposed changes to Medicaid.

Bredesen says he’s most concerned with the financial impact on states. Over a ten-year period, he estimates that any of the various bills would drive up the cost of Tennessee’s Medicaid waver program, TennCare, to the tune of hundreds of millions of dollars. He says that’s more pressing than whether states can choose to allow a public insurance option within their borders.

“That doesn’t make any difference to me…Whatever its impact is financially, it’s miniscule compared to the enormous impact that Medicaid would incur.”

Bredesen says added Medicaid costs would be especially hard to bear because they would kick in just when he expects state revenues to recover from the economic downturn. At that time, he says money will need to be spent in other areas, such as starting building projects that have been on hold and upping the pay of state employees whose salaries are currently frozen.

Finances aside, the Governor is not a fan of the provision to let states to choose whether or not a public option is available. He says, “a national plan ought to be a national plan.”