FY13 Healthcare Spending Tips 50% of State Budget ($16.5B)
During the formation of the FY 13 budget the Governor and his staff made a point to highlight the fact that healthcare spending now composes 41% of the spending. They warned:
Based on long term forecasts conducted by the Executive Office for Administration and Finance, were health care costs to continue to grow at these historic rates, they would consume approximately 50% of state spending by 2020. Health care spending has crowded out key public investments that, among other things, likewise significantly impact the health and welfare of the people in the Commonwealth. The historic trends are also unsustainable for local governments, businesses and families, forcing all of these groups to make difficult choices between paying for health care and other areas of potential investment. (bold added)
Well, it looks like 2020 has come 8 years early. A quick review of the Administration and Finance’s budget website displays this following graphic.