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FY 2021-22 Medicaid Spending Comes in Below Global Cap

Despite adding 475,000 Medicaid recipients (6.8 percent) during the year, lower-than-expected utilization in some Medicaid programs resulted in State Medicaid spending subject to the Global Cap to come in below the Cap. 2021-22 spending was sufficiently below projections to permit the Department of Health (DOH) to manage the timing of payments and credits across fiscal years. Influenced by the effects of COVID-19 and federal requirements that limited Medicaid disenrollments, Mainstream Medicaid managed care increased enrollment by 6.2 percent, while Managed Long Term Care (MLTC) membership grew by 1.3 percent. Fee-for-service (FFS) Medicaid enrollment rose by 9.9 percent.

Among service lines, nursing home spending was 5.4 percent lower than had been projected, while MLTC spending was 2.7 percent lower. Overall FFS State Medicaid expenses were 2.8 percent below projections; Medicaid managed care was 2.6 percent lower. Enhanced federal financial participation, which adds 6.2 percentage points to the federal Medicaid match until the end of the quarter in which the federal public health emergency ends, has provided a significant funding boost to the State.

Contact: Darius Kirstein, dkirstein@leadingageny.org, 518-867-8841