Additional Federal Medicaid Matching Funds Need to ContinueFor a Period of Time Beyond the End of the Public Health Emergency

Congress and the Administration continue to debate the form and amount of additional stimulus funds related to the pandemic.  One item that should be addressed is the duration of increased federal funds to support Medicaid.  The existing 6.2 percent increase will only last through the end of the public health emergency, or currently through December 2020.

 This length of time won’t address the reason states need extra federal Medicaid funds:  the collapse of the economy, which is driving growth in Medicaid enrollment at the same time tax revenues to support the state Medicaid share have collapsed.

 Congress should consider:

 1.     Extending the enhanced federal Medicaid share for a period of time beyond the end of the PHE; and

2.     Putting a date-certain in law for the enhanced federal funds, to enable budget forecasts and decision-making at the state level

 Details in the attached.