Description:
H.R. 4725 would make changes to Medicaid and the Children’s Health Insurance Program (CHIP) that would reduce the federal medical assistance percentages (FMAPs) for certain enrolled individuals. The bill would also limit states’ ability to tax health care providers and require states to include lottery winnings or lump sum income in determining eligibility for Medicaid. Lastly, the bill would repeal the Prevention and Public Health Fund (PPHF), which provides grants to carry out prevention, wellness, and public health activities.
CBO estimates that enacting the legislation would reduce federal deficits by $29.6 billion over the 2016-2026 period. That total consists of $29.4 billion in on-budget savings and $0.2 billion in off-budget savings. Pay-as-you-go procedures apply because enacting the legislation would affect direct spending and revenues.
CBO estimates that enacting the legislation would not increase net direct spending or on-budget deficits by more than $5 billion in any of the four consecutive 10-year periods beginning in 2027.
H.R. 4725 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act.