News -- United States Health & Human Services -- Health & Human Services announced in a press release
March 31, 2020, more than 20 states and territories will be able to join in Medicaid's Money Follows the Person program.

The program has contributed billions to help seniors and persons with disabilities transition safely from institutional care to independence in their homes and communities.

The Centers for Medicare & Medicaid Services (CMS) stated that it will provide more than $110 million under Medicaid's Money Follows the Person (MFP) program to enhance access to home and community-based services (HCBS). MFP, which was first authorized in 2005, has given states $4.06 billion to help people who want to leave facilities and return to their homes and communities. Individual awards of up to $5 million are available under the new Notice of Funding Opportunity (NOFO) for more than 20 states and territories that are not already participating in MFP. These monies will help states and territories get their Medicaid systems up and running, ensuring that more individuals with Medicaid may access high-quality, cost-effective, person-centered services in the setting of their choice.

Secretary of Health and Human Services Xavier Becerra stated, “Everyone deserves the opportunity to live at home,
in their communities, and with their loved ones,” said Health & Human Services (HHS) Secretary Xavier Becerra.
“This funding will bring dignity and peace of mind to even more seniors and people with disabilities across the country. We will continue expanding these programs to ensure all Americans have equitable access to the high-quality health care they deserve—no matter where they live.”

“Our health care system works best when it meets us where we are and helps us get to where we want to be,” said CMS Administrator Chiquita Brooks-LaSure. “With this new funding opportunity, we’re expanding a program with a proven track record of helping seniors and people with disabilities transition safely from institutional care to their own homes and communities. Letting ‘money follow the person’ is key to those successes, and to the Biden-Harris Administration’s commitment to affordable, accessible, person-centered care.”

HCBS is an important part of Medicaid and the Biden-Harris Administration's commitment to helping older folks and people with disabilities live securely and independently in their own homes and communities. The MFP program has been a key instrument, and now, thanks to this latest NOFO, it has the opportunity to accomplish much more in a wider range of states and territories.

To help additional states and territories implement MFP, these awards will support the early planning phase to get an MFP program off the ground. This includes:

Establishing partnerships with community stakeholders, including those representing diverse and underserved populations, Tribal entities and governments, key state and local agencies (such as state and local public housing authorities), and community-based organizations;
Conducting system assessments to better understand how HCBS support local residents;
Developing programs for the types of community transitions MFP supports;
Establishing or enhancing Medicaid HCBS quality improvement programs;
Recruiting HCBS providers as well as expert providers for transition coordination and technical assistance; and
Conducting a range of planning activities deemed necessary by the award recipients and approved by CMS.
State Medicaid agencies not currently participating in the MFP demonstration may apply through the NOFO no later than May 31, 2022. To access the NOFO, visit Grants.gov.

CMS also stated that the reimbursement rate for MFP "supplemental services" will be increased for states that are already participating in the program. These programs will now be entirely supported by the federal government, with no contribution from the states. In addition, CMS is broadening the definition of supplemental services to include additional supports that can help people transition from institutions to the community, such as short-term housing and food assistance. These modifications will help eligible individuals overcome major hurdles to community living, as well as increase community transition rates and the MFP demonstration's overall success. Visit Medicaid.gov for more information on current and prior grantees. MFP grantees will get additional information on these adjustments from CMS.

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