Medicaid expenses likely to be higher than originally budgeted

MADISON, Wis. (WRN) — Medicaid expenses for Wisconsin are likely to be higher than originally budgeted for.

The Wisconsin Department of Health Services projects Medicaid general program revenue to be $213 million higher than projected when the new two-year state budget was signed last summer.

DHS Secretary Kirsten Johnson cited several reasons for the projected shortfall in a letter to co-chairs of the legislature’s Joint Finance Committee. Those include unexpected higher costs for prescription drugs, Medicare buy-in programs, and fee-for-service mental health and substance use disorder services.

DHS was projecting a $144 million shortfall in the Medicare program three months ago.