Report , Webinar & Presentations

CMS Guidance Authorizes Medicaid Demonstration Applications That Cap Federal Funding: Implications for States

This report reviews the Centers for Medicare and Medicaid Services’ recent guidance on caps for federal Medicaid funding. The authors review the key features of the proposed capped funding demonstrations and highlight the considerations for states.

An accompanying webinar on the topic provided state policymakers with additional analysis of the CMS guidance and discussed the potential implications for states. If you missed the webinar you can still view the slides and recording.

CMS’ State Medicaid Director Letter (SMDL) invites states to apply for Section 1115 demonstration projects that would impose caps on federal Medicaid funding for the adult expansion and some other adult populations in exchange for new programmatic flexibility. Referred to as “Healthy Adult Opportunity” by CMS, these demonstrations would allow states to choose between two types of capped funding arrangements: a per capita cap or an aggregate cap (i.e., a block grant).

Learn more about the guidance and topics related to it with these related resources:

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