U.S. Government Set to Issue Steps for Medicaid Block Grants

(Bloomberg) --

The Trump administration could issue instructions this month on providing waivers to states to transform Medicaid funding into block grants, Dow Jones reported, citing two people familiar with the issue.

Lawmakers in Tennessee, Alaska and Oklahoma have publicly supported block grants, the report said. Proponents say the change would free states from federal requirements and allow them to explore new ways to increase coverage and cut costs.

Democrats have said a move by the administration to approve block grants would circumvent Congress.

The plan to release guidance comes after the Office of Management and Budget indicated in November that block-grant instructions had been withdrawn, which led some lawmakers to conclude that the process would be significantly delayed or shelved.

Medicaid is the primary means of covering long-term care for low-income Americans and is a guaranteed benefit for eligible individuals.

To contact the reporter on this story: Emily Barrett in New York at ebarrett25@bloomberg.net

To contact the editors responsible for this story: Benjamin Purvis at bpurvis@bloomberg.net, Kevin Miller, Ian Fisher

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