CARIBOU, Maine — Mary Mayhew, commissioner of the Maine Department of Health and Human Services, spoke to the Caribou Rotary Club last Wednesday about budget reforms and spending priorities.
Mayhew covered a variety of issues related to the Maine budget such as Medicaid, TANF, and welfare fraud. The speech focused on the actions DHHS has taken, along with Governor LePage, to stabilize the budget.
Ben Rosser, of the Caribou Rotary Club, introduced Commissioner Mayhew to the podium in the Caribou Inn & Convention Center.
“What I want to walk through today is the plight of the Medicaid program,” said Commissioner Mayhew. “Out of the $3.5 billion state and federal annual budget for DHHS, $2.4 billion of that is Medicaid. So when you think about the state’s cost drivers and fiscal challenges, they are largely in the state’s Medicaid program.
The Medicaid program, according to Mayhew, has had shortfalls ranging from $50 to $100 million for over a decade. “That is no way for any program to operate. It can’t properly serve the people of Maine if it is constantly trying to patch up a hole. So our job was to address the drivers of that growth and see if they really aligned with the state’s needs,” she said.
The Commissioner explained how the growing costs of Medicaid funding can adversely affect other state programs.
“When I sit around the cabinet table with my colleagues from other state agencies … I see them being denied budget requests because the Department of Health and Human Services was always front and center with a massive shortfall.
“So the growth in the program came at the expense of priorities within DHHS, at the expense of other state agencies, and also at the expense of an increased tax burden. Other states commit, on average, about 16 percent of their budget to DHHS while we’re about 24 percent,” she said.
Mayhew said 354,000 people were enrolled in Medicaid when LePage took office in January 2011, a significant increase from the 180,000 people enrolled roughly 10 years prior.
“I obviously am here representing Gov. LePage and our perspective. I always preface my remarks by saying that if we lived in a world with unlimited resources, then these would not be difficult decisions. But we don’t,” she said.
Commissioner Mayhew briefly touched on Maine TANF and Food Stamp programs and their relation to the state’s budget.
Despite the tough decisions and obstacles associated with the task of establishing a proper budget, Commissioner Mayhew embraces the responsibility.
“This is all about improving the way tax dollars are spent, supporting the true intent of these programs, and helping people in Maine live successful and fulfilling lives. If we don’t have a workforce that is ready, we will not be able to attract and maintain employers in the state.”
