Missouri taps general revenue to fund Medicaid expansion for the first time

Yahoo
Yahoo
24m ago
Missouri’s supplemental budget request includes $79.9 million in general revenue to cover the state share of Medicaid expansion costs for the rest of the fiscal year, marking the first time general revenue has been requested for the voter-approved program.
Missouri taps general revenue to fund Medicaid expansion for the first time
A What happened
Gov. Mike Kehoe’s budget request seeks $79.9 million in general revenue, matched by $409 million in federal funding, to finish out the fiscal year for Missouri’s Medicaid expansion as enrollment has grown to more than 363,000 people. The request is part of a $1.1 billion supplemental spending request for the overall Medicaid program and a $3.3 billion supplemental plan for all of state government that includes $572 million in general revenue. The 31-member House Budget Committee did not question or comment on the general revenue request for Medicaid expansion during a hearing.

Key insights

  • 1

    Medicaid expansion funding drew little scrutiny in committee: State Rep. Betsy Fogle said the lack of questions on the general revenue request indicated the program has worked for the state.

  • 2

    State budget officials said supplemental Medicaid requests reflect budgeting practices and rising medical costs: State Budget Director Dan Haug said the request is similar to past years and cited annual underestimation of program costs and increasing medical costs.

  • 3

    State officials said federal rule changes increase administrative and financial risk for SNAP: Dan Haug said Missouri must reduce eligibility determination error rates to avoid penalties and added costs under new rules.

Takeaways

Missouri lawmakers are considering a supplemental spending plan that, for the first time, uses general revenue to help fund Medicaid expansion while also financing administrative changes driven by new federal requirements.

Topics

Health & Medicine Public Health World & Politics Policy & Regulation Healthcare Systems Governance

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