Medicaid is United States social program which covers low income families with children, unemployed pregnant mothers, needy seniors, and disabled people. Medicaid receives funds from the Federal Government and as well as the fifty states. It's the biggest governmental program funded by the Federal and state governments. The Federal government covers about 57 percent and state covers about 40 percent of all Medicaid expenditures. Medicaid is the largest expenditures program to the state and also it is the largest "state-run " health care program in every state.
Each state has its own guidelines that must include, level of eligibility, amount of services needed, fee schedule for services, and own way to manage these programs. The programs cover basic medical care services such as hospitals, doctors visits, home care, medications, special medical equipment and many other healthcare needs. In addition, Medicaid covers long-term care, for those who have some sort of disabilities and they require long intensive care that can be provided in a community such as their homes, assisted living facilities or nursing homes. In certain circumstances, the long term care can be provided at the local level which means that the individual who requires long term care can waive program and make arrangement remain in the community settings; their own home.
In 2010, New Jersey Department of Human Services raised the issue of the rising costs of Medicaid expenditures. Medicaid spending dramatically increased in New Jersey; between 2005-2011, expenditures grew from 15% to 22%. There are a few factors that influenced to create the increasing costs. First, the Federal government expanded the eligibility for Medicaid which required the state to serve more people. The Federal government also extended the standards that require for nursing home that led to higher cost of nursing home care. The Federal government also increased regulatory standards required for nursing home, and it led to higher costs to operate the nursing homes.