Capitol Correspondence - 12.19.23

ARPA’s $37 Billion Boost: A Milestone for HCBS

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Last week, the Biden-Harris Administration revealed that the American Rescue Plan Act (ARPA) has infused $37 billion into Medicaid Home and Community-based Services (HCBS), positively impacting seven million older adults and people with disabilities nationwide. ANCOR, alongside other stakeholders, gathered at the White House to commemorate the success of this investment, emphasizing the administration’s commitment to further bolstering the HCBS infrastructure and the direct care workforce.

ARPA, enacted in 2021, granted states a temporary 10% increase in federal Medicaid funding (FMAP) to enhance HCBS. All states embraced the FMAP increase, channeling it into reinforcing their HCBS programs. The Centers for Medicare & Medicaid Services (CMS) recently released an overview of state ARPA spending, revealing that states utilized the funds to retain, expand, and train direct care workers. The report also highlighted improvements in HCBS quality, reductions in waiting lists, support for family caregivers, and initiatives addressing social determinants of health. Learn more about this milestone for HCBS: