It's not that we have a Federal health insurance program for the poor that's the problem. But how it's run primarily it's financing because it was never setup to pay for itself or to be financially affordable. The idea was here's this health insurance program that's free for the people who are on it. Now you meaning the states, doctors and hospitals go figure out to pay for it and what the doctors and hospitals have said. Is that's not good enough that we need to be compensated for the healthcare that we deliver to finance our. Clinics and hospitals and bills and when Medicaid only covers 17% of the bills that their patients have. The clinics and doctors tell them that we can't help you because can't afford to. Medicare and Medicaid were set up the same year in 1965, the difference being that Medicare was setup with a direct. Revenue source an increase in the payroll tax, Medicaid should've been setup with a direct revenue source of it's own. Instead of the Feds saying that we'll cover some of it and the states have to figure out the rest on their own.
So the first solution for Medicaid would be to make it self-financed paid for by it's customers. Low-income workers and their employers, with the workers being eligible for a tax-credit to cover those costs. At the end of the year and the Feds increasing payments for people on Welfare and Unemployment Insurance to pay for their Medicaid as well. So take these costs off of the states and have the Feds chip in more for Medicaid by law and another option would be. To allow not force Medicaid patients to use the money they get from Medicaid to pay for their employers health insurance plan. And we would see less people on Medicaid in the future especially as the economy continues to grow. And then the third option would be to what's called in Washington, block-grant Medicaid to the states. For them to run their own Medicaid program under a few conditions. That everyone in their state eligible for Medicaid would be allowed to take Medicaid and that their Medicare revenue could only be used for Medicaid.
The concept of what Medicaid is about is sound and a good idea but it was never really setup to be run very well. And as a result a lot of it's patients do not get the healthcare that they are eligible for because the hospitals and clinics. Won't take them because of how low Medicaid reimbursement is and this is something that be can be fixed fairly easily. The Federal Government steps up with money and get's out of the way.