HHS Finalizes Rule Regarding Funding for New Medicaid Beneficiaries
March 29—Under a final rule effective Jan. 1, 2014, the federal government will pay 100 percent of the cost of providing care for certain newly eligible adult Medicaid beneficiaries through 2016. The amount would then be phased down to a permanent 90 percent matching rate by 2020, according to the U.S. Department of Health and Human Services (HHS).
The Affordable Care Act authorizes states to expand Medicaid to adult Americans under age 65 with income of up to 133 percent of the federal poverty level (approximately $15,000 for a single adult in 2012).
In a release, HHS Secretary Kathleen Sebelius said that HHS would seek comments on the final rule, which also provides information to states that expand Medicaid. For example, the rule describes the method states will use to claim the matching rate that is available for Medicaid expenditures of individuals with incomes up to 133 percent of poverty who are defined as “newly eligible” and who are enrolled in the new eligibility group. HHS has set up a system to make eligibility determinations for state programs.
Read the full text of the final rule.
Publication Date: Friday, March 29, 2013