What Is the Actual State Cost of MassHealth in 2018?
Since Medicaid is a partnership between state and federal governments, much of this essential health care coverage is actually paid for by the federal government. The Governor’s proposed Fiscal Year 2018 budget includes approximately $16.6 billion for MassHealth. This total (or gross amount) is approximately 37 percent of total state budget appropriations. The federal government then reimburses Massachusetts for more than half of this spending. After receiving these reimbursements, the state’s net cost for MassHealth is $8.0 billion, 24 percent of the total net budget.