Saturday, April 29, 2017

Federal Legislative Report 115-03

The previous version of the American Health Care Act, as reported in FLR 115-02, proposed major funding changes to the federal Medicaid program, including how the federal government funds its share of state Medicaid costs. The bill enacted a per capita cap on federal Medicaid payments to states, thus jeopardizing the Medicaid funding schools receive to provide healthcare services to students, including students with disabilities.

The per capita cap in the previous legislation was set at a lower level than healthcare costs are expected to grow under Medicaid in future years. This would have required states to make decisions about what services are covered due to reduced federal support. States would have likely factored cost decisions over what services to cover for children with disabilities. Additionally, schools would have been forced to compete with medical care providers such as hospitals and physicians for limited funding.

Click here to read the entire Federal Legislative Report 115-03, including information on FY17 appropriations and Illinois' ESSA plan.