Changes to Medicaid in the Budget Reconciliation Law

Manatt Health

On Thursday, July 24, State Health and Value Strategies hosted a webinar on the budget reconciliation legislation (H.R.1) that was signed into law on July 4. The law makes sweeping changes to Medicaid that will impact state Medicaid program expenditures, enrollment, and operations now (with many provisions having already taken effect upon enactment) and in the years to come. It concentrates cuts to the Affordable Care Act’s Medicaid expansion population—including by imposing mandatory work requirements, requiring certain Medicaid enrollees to pay copayments, and increasing the frequency of eligibility redeterminations. It also limits use of provider taxes and state directed payments, constraining the ways states can raise revenue to finance their share of Medicaid program costs and influence provider access through payment policy; and adds major restrictions on access to affordable health coverage for noncitizens.

During the webinar, SHVS’ experts reviewed the final Medicaid provisions included in the law, associated timelines for implementation, and considerations for states.

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