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FMAP Extension Clears House, Signed Into Law by President

Last week the House voted to send H.R. 1586 to the President. The bill, which the President signed the same day, provides $16 billion for a six month extension of the enhanced Federal Medicaid match (FMAP), and $10 billion to local education agencies to prevent teacher layoffs. The FMAP extension, which also applies to foster care maintenance payments, will be phased out from the current increase of 6.2% to 3.2% from January through March 2011 and to 1.2% from April through June. The FMAP extension until June 2011 will be a significant help to the Medicaid budget of both the state and counties in Iowa during fiscal year 2011; however, this action only temporarily delays everyone falling off the cliff in fiscal year 2012.  

 

 
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