http://www.wsws.org/articles/2005/aug2005/tenn-a30.shtmlOn July 1, the beginning of the 2006 fiscal year, the Tennessee legislature approved Democrat Governor Phil Bredesen’s budget proposal, which included plans to cut by the end of the year 323,000 beneficiaries from TennCare, the state Medicaid program. Additional across-the-board benefit reductions, including extreme restrictions on prescription drugs, are also currently being implemented for the hundreds of thousands remaining in the program.
Before July 1, TennCare served 1.3 million poor Tennesseans, nearly half of whom were children. The majority of funding for the program’s $8.1 billion dollar annual budget has come from the federal government in a special arrangement through the Centers for Medicare and Medicaid Services, making the program less costly for the state than many, despite its large size.
Nationally, TennCare has enjoyed a reputation for being the most comprehensive of all Medicaid programs while boasting the lowest per-enrollee cost. However, it has consistently been described by the governor’s office as “a budget buster” requiring “necessary reductions in adult enrollment.”
The cut—the largest single reduction of enrollment in Medicaid history—is being justified by a budget crisis and need to balance the books. This is a familiar refrain echoing through state houses all across the US, where grants to public advocacy and social service programs are being sacrificed in favor of tax cuts for the wealthy and spending on war.
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