Texas is one of only 14 states choosing not to expand health insurance coverage to low-income adults using the financially attractive mechanism created with passage of the Affordable Care Act (ACA) in 2010. Almost 1.5 million Texans would immediately become eligible for expanded coverage, according to analysis by the Kaiser Family Foundation.
An exchange is a private-market solution where competition among insurance providers will stimulate innovation and cost reduction measures while avoiding some of the flaws of the Medicaid program. Utilizing the Federal funds designated for Medicaid expansion under the ACA to provide private insurance coverage for the newly Medicaid-eligible population through such an exchange would increase the economic benefits to the state by both decreasing the administrative costs to the state and increasing the potential gains.
According to an analysis by The Perryman Group, every $1 spent by the State of Texas to expand Medicaid coverage under the Affordable Care Act (ACA) returns $1.29 in dynamic State government revenue over the first 10 years of the expansion. Medicaid expenditures lead to substantial economic activity, federal funds inflow, reduction in costs for uncompensated care and insurance, and enhanced productivity from a healthier population. When these outcomes and the related multiplier effects are considered, the program actually far more than pays for itself and provides a notable economic stimulus.
The US Supreme Court recently ruled to preserve DACA, the Deferred Action for Childhood Arrivals program. DACA allows individuals who came to the US as children to remain under certain conditions and was implemented in 2012. Since that time, about 800,000 people have received protection under the act, which requires that recipients either be in school or be employed. Although the decision does not permanently secure the program, it provides critical near-term security to the affected group.
The clock is ticking on a two-million-job issue: finding a permanent solution to replace Deferred Action for Childhood Arrivals (DACA). The DACA program allows individuals who entered the United States as children to remain here for school or work. Nearly 800,000 persons across the country are enrolled in the program, and approximately 124,300 of these individuals live in Texas. If no action is taken, these young people will be subject to deportation when work visas in place on March 5, 2018 expire (some are already expiring). The issue has become highly politicized, thus at times masking the critical underlying socioeconomics.
The Trump Administration has announced a decision to end Deferred Action for Childhood Arrivals (DACA), an immigration program allowing individuals who entered the United States as children to remain here for school or work. Nearly 800,000 persons are enrolled in the program. Approximately 124,3000 of these "Dreamers" live in Texas, with a high concentration in Houston and the Gulf Coast region.
Dr. Perryman emphasizes the need for congress to develop effective immigration legislation and policies.
The Supreme Court ruled that the DACA program would not be ended at this time. Dr. Perryman explains the economic contributions coming from these individuals.
The Supreme Court has agreed to hear a case regarding The Affordable Care Act. Dr. Perryman explains what would happen if they decided to go forward with revocation of Obamacare.
Dr. Perryman says President Trump's decision to rescind the Deferred Action for Childhood Arrivals, or DACA, program could have dire consequences for the economy.