Trump CMS stops Medicaid spending on internet and housekeeping

Thursday, CMS said that it will not approve new waivers or renew existing ones to receive federal funding for certain state programs that were only sanctioned under “creative interpretations” of federal Medicaid statutes.

Among the examples of this creative spending highlighted by the agency include $20 million for high-speed internet for rural healthcare providers in North Carolina and $241 million for a program in New York for non-medical in-home services, such as housekeeping.

The press release also cited a Medicaid-funded program in New York “to train a diverse medical workforce” to the tune of $3.8 million.

A CMS spokesperson clarified that states can continue to use their own Medicaid funds for these types of non-healthcare services, but these types of services will no longer be eligible for federal matching funds.

According to CMS, these types of programs accounted for roughly $886 million in the federal Medicaid budget in 2019 but that has since increased to $2.7 billion, “representing increasing costs to the federal government without a sustainable state contribution.”

https://www.washingtonexaminer.com/policy/healthcare/3377247/trump-cms-stop-medicaid-spending-internet-housekeeping/