Maine's Medicaid program, called MaineCare, is an important part of the state's health care system. It provides coverage to 1 out of 5 Maine citizens. The largest group covered is poor children and their parents, though nearly two-thirds of the program's costs are attributed to a smaller number of people receiving long-term care and disability support services. In fact, Medicaid is the largest public payer of long term care and disability services, making it distinct from Medicare or other health care insurers.

Nationally and in Maine, the Medicaid program is a perennial issue for policy makers because it consumes such a large portion of the budget. In Maine, the state's share of MaineCare costs represents the state's second largest General Fund expenditure, after General Purpose Aid to Local Schools.

This is one in a series of policy briefs written for the 2009 Policy Leaders Academy Health Care Forum.