15 State Exchanges Cost Taxpayers More than $1.1 Billion


A CBS News analysis shows that the 15 states that opted to set up their own exchanges are spending more than $1.1 billion to launch and implement their own websites, often paying the same government contractors to do the same job in different states.

California has dedicated $359 million, while New York is spending $161 million. In Kentucky it’s $100 million, and in Oregon the price tag is $50 million. The president has pointed to Oregon, which has enrolled 56,000 people in Medicaid — to argue things are working.

“That’s 56,000 more Americans who now have health care,” the president has said. “That doesn’t depend on a website.” And it’s a good thing, because Oregon’s website doesn’t work. The new Medicaid enrollments came through the mail. The state website has yet to enroll a single person.

Clay Johnson, a former member of President Obama’s technology team, said, “What we’ve done is we’ve created systems that enable this level of waste.”

And you thought the federal website was an expensive boondoggle at $174 million so far. Turns out it was a bargain!

If you’re sighing relief . . . you shouldn’t be. You paid for these sites with federal funding to the states to build the exchanges.

California says it will not release the number of enrollees until mid-November.

As of October 23, 13,313 signed up for private insurance through New York’s exchange. Another 23,000 or so were added to the state’s Medicaid program.

On October 24, Kentucky announced 4,832 have enrolled in a qualified health plan and 21,342 have enrolled in Medicaid.

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