August 18, 2010

House Passes State Medicaid Extension
The House voted 247-161 to extend by six months Medicaid’s temporary enhanced Federal Medical Assistance Percentage for states. The extension bill increases the rate to 3.2 percent for January to March 2011. The rate then falls to 1.2 percent for April to June 2011. States with high unemployment will continue to receive additional funding during the six-month extension, as under current law. The estimated cost for this pared-down provision is $16.1 billion, which will be offset by tax increases and rescissions. President Obama is expected to sign the bill into law and spoke about the bill’s importance earlier today.

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