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On March 29, 2013, the U.S. Department of Health and Human Services (HHS) announced the final rule guaranteeing the federal government will fund one hundred percent of new Medicaid beneficiaries through the Medicaid expansion. This rule will go into effect January 1, 2014 and remain in effect through 2016, at which point the federal government will begin phasing down funding through 2020, to 90% of the cost of new Medicaid beneficiaries enrolled through the Medicaid expansion. This rule applies only to people who are newly eligible through the expansion - primarily childless adults under age 65, with annual incomes at or below 133% of the federal poverty line.

The published rule includes guidelines for determining eligibility and the process for states to claim funds for newly enrolled. This funding is available only to states that choose to fully implement the Medicaid expansion as outlined in the Affordable Care Act (ACA). 

View the final rule

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