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O'Malley: Federal health care overhaul could save Maryland $1 billion over decade

Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for O'Malley recent mug.jpgGov. Martin O'Malley (D) praised "the courageous and important" votes taken Sunday by Congress on health care reform, a measure he said could save Maryland $1 billion in the coming decade.

Speaking to reporters late Monday afternoon, O'Malley predicted a "net savings" to the state because it has been paying for several provisions that will be covered by the federal legislation, including costs associated with the "donut hole" in Medicare prescription drug coverage and allowing young adults to be covered longer by their parents' plans.

The governor said those savings would more than offset costs incurred by the state for covering additional Medicaid recipients.

O'Malley said he will soon launch a task force, led by Lt. Gov. Anthony G. Brown (D) and state Health Secretary John M. Colmers, to explore other implications of the legislation for Maryland.

"We're looking forward to being one of those states that does the hard work," O'Malley said.

O'Malley's posture stands in stark contrast to top officials in Virginia, where Attorney General Ken Cuccinelli (R) is vowing to go to court over provisions in the legislation. Virginia Gov. Bob McDonnell (R) said Monday that the federal legislation could cost Virginia $1 billion over 12 years.

By John Wagner  |  March 22, 2010; 6:04 PM ET
Categories:  Governor , Health Care , John Wagner  
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Comments

In his praise of the federal health care legislation, Governor O’Malley conveniently ignores the legislation’s net effect after the “coming decade.” According to a January report by the Department of Legislative Services, Maryland will incur between $137 million and $285 million in annual costs as federal matching money dries out starting in 2017. The governor once again demonstrates the kind short-term thinking that has driven Maryland into this economic mess… just look at the fund swaps he has employed to “balance” the budget this year.

Ed Priola, Candidate for the Maryland House of Delegates

Posted by: edpriola | March 23, 2010 11:12 AM | Report abuse

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