Washington, D.C. — Defend Forgotten America (DFA) today released a new report titled “How Texas Has Become a National Model for Medicaid Transparency, Fiscal Responsibility, and Protecting Taxpayers,” highlighting how Texas is leading the nation in Medicaid transparency and fiscal responsibility.
The report compares Texas’ approach with Illinois, where Medicaid expansion under the Affordable Care Act has resulted in higher costs and inefficiencies. While Illinois is one of the most expensive and least efficient programs in the country, Texas leadership has taken a deliberate and disciplined approach to managing Medicaid spending, focusing on being responsible with federal taxpayer dollars and keeping state and local taxes on people low.
Texas kept property taxes low by setting up an innovative local hospital tax structure referred to as Local Provider Participation Funds (LPPFs). These LPPFs allowed counties and cities to reduce their property tax spending on indigent care, yet simultaneously access the federal support the Trump Administration makes available through supplemental payments.
To counter fraud and wasteful spending, sunlight is the best disinfectant. Through extensive public reporting and detailed documentation of payment programs, Texas has developed one of the most transparent and fiscally disciplined Medicaid financing systems in the country. Texas’s unique success stories on fiscal responsibility and transparency serve as a model that can be replicated in other states.
Read the full report: HERE