Good thing they didn’t book it

The National Conference of State Legislatures (NCSL) says additional federal Medicaid money that states have been waiting for is now in jeopardy.

The organization sent out a news release today saying the $24 billion extension of FMAP money was "on the ropes" in Congress. Minnesota was anticipating $408 million, and some early state budget proposals counted on that federal money to balance the books. The session's final budget agreement did not. If the funds do arrive, the money would go to the state's bottom line.

Here's the NCSL release:

WASHINGTON -- The additional six months of enhanced federal matching funds for state Medicaid (FMAP) and child welfare (Title IV-E) programs that appeared to be a certainty at one point is now "on the ropes." Yet the need for the extended Medicaid match assistance remains the same. More and more people continue to become Medicaid-eligible as a result of the recession.

The $24 billion extension of American Recovery and Reinvestment Act provisions would cover the period between January 1, 2011 and June 30, 2011 was included in H.R. 4213 only to be dropped by congressional leaders in the House last week. An extension of COBRA premium subsidies also was dropped along with changes in the Medicare physician reimbursement "fix". There will be no further action until the week of June 7, 2010 when the Senate reconvenes after the Memorial Day recess.

The House action resulted from pressures to reduce H.R. 4213's considerable size of just more than $100 billion, with little more than half offset by revenue adjustments.

The focus of efforts must now be with the Senate. NCSL sent letters to Senators Harry Reid and Mitch McConnell urging them to include the FMAP extension when when the Senate takes up this legislation. Also, NCSL recommends that state legislators contact their delegations and urge them to re-insert the enhanced Medicaid/Title IV-E match extension into H.R. 4213.

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