State, Local Government Spending on Health Care Grew Faster Than National Rate in 2012

January 31, 2014 Grantee Publications Policy Research Improving the Nation's Fiscal Future
state health care

Total U.S. health care spending grew slowly in 2012, rising about four percent, but the story for state and local governments was dramatically different, according to an analysis from the State Health Care Spending Project, an initiative of MacArthur and The Pew Charitable Trusts. Health care spending by states and localities increased eight percent, according to the latest data from the Centers for Medicare and Medicaid Services, consuming  larger share of revenue – about $3 of every $10 – than has been the case for such expenses since at least 1987, the earliest year for which complete data are available. As state and local governments continue to navigate the aftermath of the Great Recession, health care spending remains a source of fiscal pressure.