In addition to establishing the federal marketplace and state exchanges, the government spent roughly $700 million on marketing that went towards creating doge memes, cat GIFs, and cartoon ads to promote enrollment.Įvery exchange is expected to be self-sustaining by next year, and the government is planning to fund the exchanges through user fees paid by insurance companies, which were first collected this year. The funding was provided by Section 1311 of the ACA, which "appropriated indefinite (i.e., unspecified) amounts for planning and establishment grants for health insurance exchanges." set up their own exchanges, while 36 states joined. in planning, establishment, and early innovator grants," the report said. "To date, HHS has awarded a total of more than $4.8 billion to states and D.C. All except Montana have Republican governors.Īlaska never accepted any federal funding, and Florida and Louisiana returned all funds they received from the federal government. The states that received the most federal funding were California ($1.066 billion), New York ($511 million), Oregon ($305 million), Washington ($266 million), Kentucky ($254 million), and Hawaii ($205 million).Ī handful of states only received the $1 million for initial planning grants, including: Texas, Oklahoma, Kansas, Wyoming, Montana, North Dakota, Wisconsin, Ohio, Georgia, and South Carolina. The state decided to nix Cover Oregon earlier this year, and will join the federal exchange. The state received $305 million in federal funding overall, for its failed exchange. Oregon was one of only eight states deemed an "early innovator," and received $59.9 million, the highest amount awarded. The grants were designed to help create the IT infrastructure of their exchanges that would then be used as models for other states. The government also provided $249 million for "early innovator" grants for states creating their own exchanges. received planning grants except Alaska, which did not apply. Initial planning grants were valued at $1 million, though multiple rounds of "exchange establishment grants" cost much more, totaling $4.6 billion.Įvery state and D.C. The law enabled HHS to distribute multiple grants to states to plan and establish exchanges.
The agency has requested another $1.788 billion for 2015. In 2013 the government spent $1.545 billion for administrative costs associated with the exchanges, and expects to spend an additional $1.390 million this year. "The Centers for Medicare & Medicaid Services (CMS) is incurring significant administrative costs to support FFE operations," the report, which was released earlier this month, said.Īccording to CMS, the government spent $456 million to support "exchange operations" between fiscal years 20, before the law went into effect. The funding was provided by a section of the Affordable Care Act that allowed for "indefinite" funding at the discretion of the Secretary of Health and Human Services (HHS). The federal government has spent nearly $5 billion to establish federal and state exchanges for Obamacare, according to a report by the Congressional Research Service (CRS).
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