Illinois Medicaid Budget Cuts Would Hurt Illinois Economy, Study Says

(Springfield, IL) – Two health-care advocacy groups are predicting thousands of job losses and billions of dollars in economic damage to Illinois, if Gov. Pat Quinn’s plan to conjure $2.7 billion in savings from the Medicaid program is implemented.

Quinn’s plan would jeopardize 25,615 jobs and cost the state’s economy $3.2 billion, according to a report released Wednesday by the Illinois Hospital Association, which lobbies for Illinois hospitals, and the Campaign for Better Health Care, an organization that advocates for health-care access

“Drastic Medicaid cuts hurt everyone, not just the Medicaid patients. Hospitals will be forced to reduce jobs. Local businesses will be impacted,” Illinois Hospital Association President Maryjane Wurth said.

“And hospitals will be forced to cut or eliminate medical services that everyone uses — there is not a separate set of staff, equipment and facilities just for Medicaid patients.”

Quinn’s proposal reduces the amount Medicaid providers get paid by $675 million, accounting for 25 percent of the $2.7 billion in savings.