Iowa Senate News Release
For Immediate Release: July 10, 2019
Statement from Senate Democratic Leader Janet Petersen on outrageous new contracts for privatized Medicaid
“The outrageous contracts with two out-of-state corporations are more evidence that privatized Medicaid in Iowa is unsustainable, unaffordable and unpredictable.
“Governor Reynolds has once again agreed to give the MCOs the largest dollar increases for Medicaid in the last decade. The publicly managed Medicaid system grew at an average of 5% each year over a 10-year period before privatization. Last year, the increase was 8.4%. The increase announced today is a whopping 8.6%!
“Just imagine how much better off Iowans would be if K12 public schools, job training programs and family planning services received that kind of increased state support!
“The big cheerleaders for privatized Medicaid – Governor Reynolds and Republican legislators –cannot back up their claims that privatizing would save money and make people healthier. That’s because it hasn’t happened.
“Privatized Medicaid continues to be a bad, bad deal for Iowa Medicaid recipients, health care providers and taxpayers.”
- end –