American Rescue Plan Funding (FMAP)

About American Rescue Plan Funding (FMAP)

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% one-time rise in the federal government’s share of spending on the Medicaid program starting April 2021 and extending through March 2022.

OPWDD is seeking 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.

Funding Guidelines

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.

More detailed guidance related to the FMAP funding has been released by CMS.

HCBS Enhanced Funding

New York State submitted its initial draft spending plan to the Centers for Medicare and Medicaid Services (CMS) for the enhanced federal funding provided by the American Rescue Plan Act of 2021 (ARP).  The draft spending plan and narrative can be found on this web page: