Title: Medicaid Expansion Incentive Act of 2017
Policy area: Health

Summary:
Medicaid Expansion Incentive Act of 2017
This bill amends title XIX (Medicaid) of the Social Security Act to provide additional federal Medicaid funding to states participating in Medicaid expansion under the Patient Protection and Affordable Care Act. The amount of additional funding shall be based upon the net reduction in federal funding for nonparticipating states.
The Centers for Medicare & Medicaid Services must publish annually, with respect to each nonparticipating state: (1) the amount of federal funding forgone by the state as a result of its nonparticipation, and (2) the number of individuals who would have gained coverage had the state participated.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1826 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 1826

 To amend title XIX of the Social Security Act to redistribute Federal 
  funds that would otherwise be made available to States that do not 
 provide for the Medicaid expansion in accordance with the Affordable 
 Care Act to those States electing to provide those Medicaid benefits, 
                        and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 30, 2017

 Mr. Connolly introduced the following bill; which was referred to the 
                    Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
 To amend title XIX of the Social Security Act to redistribute Federal 
  funds that would otherwise be made available to States that do not 
 provide for the Medicaid expansion in accordance with the Affordable 
 Care Act to those States electing to provide those Medicaid benefits, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Medicaid Expansion Incentive Act of 
2017''.

SEC. 2. REDISTRIBUTION OF FEDERAL MEDICAID FUNDS TO STATES ELECTING TO 
              MEET ACA MEDICAID EXPANSION REQUIREMENTS FROM STATES NOT 
              SO ELECTING.

    (a) In General.--Section 1903 of the Social Security Act (42 U.S.C. 
1396b) is amended by adding at the end the following new subsection:
    ``(aa) Bonus for States Electing To Meet ACA Medicaid Expansion 
Requirements From Funds Made Available by Other States Not Electing To 
Meet Those Requirements.--
            ``(1) In general.--In the case of a participating State for 
        a fiscal year as determined under paragraph (2), in accordance 
        with regulations of the Secretary, the State shall be entitled 
        to an increase in payments under its State plan under this 
        title in an amount determined under paragraph (3) of the 
        Secretary's estimate of the net reduction in Federal 
        expenditures for nonparticipating States (including the amount 
        of the additional Federal financial participation under this 
        title that otherwise would have been paid to such States if 
        they were participating States) during the fiscal year as a 
        result of such States not applying the ACA Medicaid expansion 
        requirements.
            ``(2) Notice regarding participation.--
                    ``(A) In general.--Before the beginning of each 
                fiscal year (beginning with fiscal year 2018) each of 
                the 50 States and the District of Columbia is requested 
                to inform the Secretary, in a form and manner specified 
                by the Secretary and accompanied by such assurances 
                regarding State plan amendments as the Secretary may 
                specify, if the State will be applying its State plan 
                under this title for such fiscal year in accordance 
                with the requirements specified in the amendments made 
                by paragraphs (1) and (2) of section 2001(a) of the 
                Patient Protection and Affordable Care Act (in this 
                subsection referred to as the `ACA Medicaid expansion 
                requirements'), which include requirements described 
                in--
                            ``(i) section 1902(a)(10)(A)(I)(VIII); and
                            ``(ii) section 1902(k).
                The Secretary shall not accept information submitted 
                under this subparagraph for a fiscal year after the 
                beginning of the fiscal year involved.
                    ``(B) Determination of participating and 
                nonparticipating states.--Taking into account the 
                information submitted under subparagraph (A) for a 
                fiscal year, the Secretary shall determine for the 
                fiscal year which of the 50 States and the District of 
                Columbia will be applying the ACA Medicaid expansion 
                requirements for the fiscal year and which will not. 
                For purposes of this subsection--
                            ``(i) each State or District determined to 
                        be applying such requirements for a fiscal year 
                        is referred to as a `participating State' for 
                        such fiscal year; and
                            ``(ii) each State or District determined 
                        not to be applying such requirements for a 
                        fiscal year is referred to as a 
                        `nonparticipating State' for such fiscal year.
            ``(3) Amount of increase.--The Secretary shall compute the 
        increase in payments under this subsection for a participating 
        State for a fiscal year, to the extent of available funds, in 
        accordance with a formula specified by the Secretary. Within 
        the amount of available funds, such formula may take into 
        account elements such as--
                    ``(A) increasing to 100 percent the FMAP for newly 
                eligible mandatory individuals;
                    ``(B) increasing the matching percentage for 
                administrative costs attributable to application of ACA 
                Medicaid expansion requirements; and
                    ``(C) an increase in DSH allotments.
            ``(4) Publication of information on estimated impact of 
        nonparticipation.--The Secretary shall publish for each 
        nonparticipating State for each fiscal year--
                    ``(A) the amount of the additional Federal funds 
                under this title for the fiscal year that the Secretary 
                estimates the State has forgone as a result of its not 
                being a participating State for such fiscal year; and
                    ``(B) the number of additional beneficiaries that 
                would have been covered under the State plan under this 
                title in the fiscal year if the State had been a 
                participating State for the fiscal year.''.
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