A report from the group Families U.S.A. says Medicaid cuts in the House Republican budget would have a serious impact on the struggling economy of Missouri.

Press Release from Missouri News Service

JEFFERSON CITY, Mo. – Medicaid cuts in the House Republican budget, if implemented today, would have a serious impact on the struggling economy of Missouri, according to a new report from Washington, D.C.-based Families USA. It warns that the cuts would put as many as 35,210 jobs and as much as $4.2 billion in state business activity at risk.

The report argues that every federal Medicaid dollar that flows into the state stimulates business activity and generates jobs. Conversely, according to Missouri Pro Vote Executive Director Matthew Patterson, cutting Medicaid funds not only hurts those who depend on the program for health care assistance – seniors, people with disabilities and children – but it also would result in fewer jobs and could stunt the state’s economic recovery.

“Medicaid really has a multiplier affect in terms of jobs – health care jobs. Those people aren’t getting the kind of care they need. They’re waiting ’til the last minute and usually go through the emergency room to get any kind of care.”

Patterson urges more focus on innovative ways to generate revenue, instead of just making cuts.

“There’s things that you can do to make sure the revenue is in place. This budget they proposed through the House doesn’t really take any of that into account.”

The budget proposal adopted by the U.S. House of Representatives, sponsored by Rep. Paul Ryan (R-WI), calls for cuts in federal funding to current state Medicaid programs of 5 percent in 2013, 15 percent in 2014, and 33 percent in 2021.