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1 H.R. 5306, Ensuring Medicaid Provides Opportunities for Widespread Equity, Resources, and Care Act 1 (November 19, 2018)

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                  CONGRESSIONAL BUDGET OFFICE

a                             COST   ESTIMATE
                                                            November  19, 2018


                                  H.R.  5306
     Ensuring  Medicaid  Provides  Opportunities   for Widespread   Equity,
                           Resources,  and  Care Act

         As ordered reported by the House Committee on Energy and Commerce
                              on September 13, 2018


 SUMMARY

 H.R. 5306 would reauthorize and amend the Money Follows the Person (MFP)
 demonstration which provides states with an enhanced reimbursement for Medicaid
 services that promote the use of home and community-based health care services in place
 of institutional, long-term care services. CBO estimates that enacting H.R. 5306 would
 increase direct spending by $882 million over the 2019-2028 period. Because H.R. 5306
 would affect direct spending pay-as-you-go procedures apply. H.R. 5306 would not affect
 revenues.

 The bill also would require the department of Health and Human Services (HHS) and the
 Medicaid and Children's Health Insurance Program Payment and Access Commission
 (MACPAC)   to produce reports related to the demonstration. CBO estimates that
 producing the reports would cost about $1 million over the 2019-2023 period, assuming
 availability of appropriated funds.

 CBO  estimates that enacting H.R. 5306 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 2029.

 H.R. 5306 contains no intergovernmental or private-sector mandates as defined in the
 Unfunded Mandates Reform Act (UMRA).


 ESTIMATED COST TO THE FEDERAL GOVERNMENT

 The estimated budgetary effect of H.R. 5306 is shown in the following table. The costs of
 the legislation fall within budget function 550 (health).

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