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2021 Special Session I

Budget Amendments - HB1800 (Conference Report)

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Capture Savings from Enhanced Federal Matching Funds

Item 312 #1c

Item 312 #1c

First Year - FY2021 Second Year - FY2022
Health and Human Resources
Department of Medical Assistance Services FY2021 ($1,834,183) FY2022 ($5,378,570) GF
FY2021 $1,834,183 FY2022 $5,378,570 NGF

Explanation

(This amendment captures $1.8 million from the general fund the first year and $5.4 million from the general fund the second year and a corresponding increase in federal Children's Health Insurance Program (CHIP) matching funds to reflect the savings to the Commonwealth pursuant to enhanced federal matching funds for the fourth quarter of fiscal year 2021 and the first and second quarters of fiscal year 2022. The federal Families First Coronavirus and Response Act, passed in March 2020, increased the federal match rate for Medicaid by 6.2 percentage points until the end of the quarter in which the declared public health emergency (PHE) due to COVID-19 expires. The CHIP match rate factors in the Medicaid match rate and is therefore increased, but at an enhanced match rate of 4.34 percent. The PHE is extended in 90-day increments and was recently extended into the fourth quarter of fiscal year 2021. In addition, the Acting U.S. Secretary of Health and Human Services has informed all state Governors of their intention to extend the PHE through the end of calendar year 2021 to provide greater budget certainty to states. Therefore, this amendment also captures the savings from the first and second quarters of state fiscal year 2022.)