The federal government implemented the American Rescue Plan in 2021 which sets aside funding for home and community-based services through Medicaid’s Federal Medical Assistance Percentage (FMAP) funding. This is being delivered in the form of a 10 percent, one-time rise in the federal government’s share of spending on the Medicaid program starting April 2021 and extending through March 2022.
Over the summer, OPWDD invited feedback from the community of people we support and their family members, advocates and providers to determine how the funding can best be used to support people.
The State shall implement, or supplement the implementation of, one or more activities to enhance, expand, or strengthen home and community-based services under the State Medicaid program.
The State shall use the Federal funds attributable to the increase under subsection (a) to supplement, and not supplant, the level of State funds expended for home and community-based services for eligible individuals through programs in effect as of April 1, 2021.
The statute establishes that the increased FMAP is available for services that are provided during the HCBS program improvement period, which is defined as April 1, 2021 through March 31, 2022. The resulting state savings from the increased FMAP do not necessarily have to be expended within that same timeframe.