Medicaid in Alabama: Dollars and Sense

Medicaid in Alabama: Dollars and Sense

Medicaid expenditures have increased by over 50% in the last decade, now consuming over 33% of the strained State General Fund budget. Unlike the current fee-for-service model, a Managed Care Organizations capitated model stabilizes expenses for the State and payments for physicians. By utilizing Managed Care Organizations, the State can realize up to $1 billion in reduced Medicaid expenses over the next four years.