FMAP

Federal Health Policy Update for May 22

The following is the latest health policy news from the federal government for May 16-22.  Some of the language used below is taken directly from government documents. Congress:  Reconciliation Early Thursday morning the House of Representatives passed its version of an FY 2025 budget reconciliation bill by a vote of 215-214.  The bill underwent a number of changes during the hours before its passage and its health care provisions now include $800 billion in Medicaid cuts over the next ten years.  The Congressional Budget Office projects that the bill, mostly because of the Medicaid cuts, will lead to 8.6 million [...]

Federal Health Policy Update for May 15

The following is the latest health policy news from the federal government for May 9-15.  Some of the language used below is taken directly from government documents. Congress:  Reconciliation House Energy and Commerce Committee Charged with finding $880 billion in federal spending cuts over the next ten years, the House Energy and Commerce Committee this week produced legislative language to be included in a House reconciliation bill that would achieve that objective.  The committee’s cost-cutting provisions include: Freezing state Medicaid provider taxes at their current level, prohibiting the establishment of new provider taxes, modifying the criteria CMS uses to determine [...]

Federal Health Policy Update for May 8

The following is the latest health policy news from the federal government for May 2-8.  Some of the language used below is taken directly from government documents. Congress Reconciliation Over the past several days the political gravity surrounding Medicaid cuts has begun to shift slightly.  Moderate Republicans have been pushing back more forcefully and more loudly against such cuts, with some saying they will not support more than work requirements and increased enforcement checks for eligibility.  Opposition to most Medicaid cuts led the Energy and Commerce Committee to delay a markup of its reconciliation bill planned for this week to [...]

Federal Health Policy Update for May 1

The following is the latest health policy news from the federal government for April 25 – May 1.  Some of the language used below is taken directly from government documents. Congress Reconciliation The House and Senate returned to Washington D.C. this week and House committees have begun marking up reconciliation legislation for submission to the House Budget Committee by May 9.  The Energy and Commerce Committee is expected to seek nearly $550 billion in cuts to Medicaid spending and the most likely targets for cuts continue to be work requirements for Medicaid eligibility; more frequent review of Medicaid eligibility; reducing the federal [...]

Medicaid Financing 101

The National Association of Medicaid Directors has published a primer on how Medicaid is financed at the state and federal levels. The background paper describes the federal Medical Assistance percentage – FMAP, the rate at which the federal government provides matching funds for state Medicaid expenditures – how money flows from the federal government to the states, how Medicaid costs are budgeted at the state level, and how states raise their share of their Medicaid costs. It also outlines factors that affect Medicaid spending, such as enrollment, covered benefits, utilization, the cost of services, administrative costs, and the growing demand [...]

2025-04-30T10:13:16-04:00May 1, 2025|Medicaid|

The Implications of Eliminating the ACA Medicaid Expansion Matching Rate

When the Affordable Care Act was adopted in 2010 it offered a powerful incentive for states to expand their Medicaid program:  the federal government would pick up 90 percent of the cost of covering each state’s expansion population. Over the years, 40 of the 50 states have taken advantage of these terms to expand their Medicaid programs, resulting in a significant increase in both Medicaid enrollment and how much the federal government spends on Medicaid. Now, policymakers are considering ending that incentive, leaving the 40 states with a difficult choice:  to pick up the additional cost themselves or reverse their [...]

2025-02-13T17:13:28-05:00February 18, 2025|Affordable Care Act, Congress, Medicaid|

Hospitals Chart 2025 Public Policy Objectives

The hospital industry has an ambitious public policy agenda for 2025 – most of it involving defending the status quo against proposed changes. Hospitals’ advocacy in 2025 will focus on: Fighting off Medicaid cuts, work requirements, reductions in the federal Medicaid matching rate, eliminating scheduled cuts in Medicaid disproportionate share (Medicaid DSH) allotments to the states, and protecting state-directed Medicaid payments and the ability of states to raise Medicaid funding through provider taxes. Preventing a transition to site-neutral payments for Medicare-covered outpatient services. Ensuring the continuation of current section 340B prescription drug discount program practices. Preserving and even extending current [...]

Federal Health Policy Update for January 16

The following is the latest health policy news from the federal government for January 11-17.  Some of the language used below is taken directly from government documents. Congress   House Budget Committee Republican members of the House Budget Committee have circulated a list of possible policy changes that would reduce federal spending by between $5.3 trillion and $5.7 trillion over a period of ten years.  Up to $3.4 trillion of those possible cuts could include reductions in federal health care spending.  The health care cuts the document lists (all figures are ten-year reductions) are: Medicare introducing Medicare site-neutral outpatient payments - [...]

House Committee Mulls Possible Health Care Cuts

Republican members of the House Budget Committee have circulated a list of possible policy changes that would reduce federal spending between $5.3 trillion and $5.7 trillion over a period of ten years.  Up to $3.4 trillion of those possible cuts could include reductions in federal health care spending.  The health care cuts the document lists (all figures are ten-year reductions) are: Medicare introducing Medicare site-neutral outpatient payments - $146 billion reducing Medicare disproportionate share (Medicare DSH) uncompensated care payments - $229 billion reducing Medicare bad debt reimbursement - $42 billion extending the Bipartisan Budget Act of 2013 budget sequestration that [...]

Federal Health Policy Update for November 30

The following is the latest health policy news from the federal government for November 17-30.  Some of the language used below is taken directly from government documents. No Surprises Act CMS has released two new FAQs to provide guidance in advance of the Independent Dispute Resolution portal reopening for batched disputes and air ambulance disputes; that service remains temporarily suspended.  These FAQs together explain how certified IDR entities may determine whether a dispute is appropriately batched in light of recent court rulings; provide information about policy for extending existing IDR deadlines once the federal IDR portal reopens to all batched [...]

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