H.R. 871House117th Congress (2021-2023)In Committee

Expand Medicaid Now Act

Introduced February 5, 2021

AI-Generated Summary

Updated February 7, 2026 at 10:25 PM UTC

The Expand Medicaid Now Act temporarily raises the Federal Medical Assistance Percentage (FMAP) for states that begin spending Medicaid funds on newly eligible mandatory individuals. For a qualifying state, the FMAP would increase by five percentage points for an eight‑quarter period starting with the first quarter the state spends on all such individuals. The boost does not apply if a state stops providing assistance during that time and is excluded from certain other federal calculations.

Key Provisions

  • Adds a new subsection (hh) to Section 1905 of the Social Security Act, granting a 5‑point FMAP increase to qualifying states for eight quarters when they start spending on all newly eligible mandatory Medicaid individuals.
  • Defines a "qualifying State" as one that had not yet expended amounts for all newly eligible individuals before the law’s enactment.
  • Provides an exception: if a state ceases to provide assistance to any newly eligible individual during the period, the FMAP increase does not apply for that quarter or any later quarters.
  • Specifies that the FMAP increase does not affect disproportionate share hospital payments, enhanced FMAP calculations under section 2105, or Title IV parts A, D, or E.
  • Amends subsection (b) by replacing "and (ff)" with "(ff), and (hh)" to incorporate the new provision.

Legislative Activity

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2 earlier actions
HouseCommittee Latest Action

Referred to the Subcommittee on Health.

February 8, 2021

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HouseIntro Referral

Introduced in House

February 5, 2021

HouseIntro Referral

Referred to the House Committee on Energy and Commerce.

February 5, 2021

HouseCommittee

Referred to the Subcommittee on Health.

February 8, 2021

Bill Text

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Introduced in HouseIssued February 5, 2021

I

117th CONGRESS

1st Session

H. R. 871

IN THE HOUSE OF REPRESENTATIVES

February 5, 2021

Mrs. Fletcher 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 provide a temporary increase in FMAP for medical assistance under State Medicaid plans which begin to expend amounts for newly eligible mandatory individuals.

1.

Short title

This Act may be cited as the Expand Medicaid Now Act.

2.

Temporary increase in FMAP for medical assistance under State Medicaid plans which begin to expend amounts for newly eligible mandatory individuals

Section 1905 of the Social Security Act (42 U.S.C. 1396d) is amended—

(1)

in subsection (b), in the first sentence, by striking and (ff) and inserting (ff), and (hh); and

(2)

by adding at the end the following new subsection:

(hh)

Temporary increase in FMAP for medical assistance under State Medicaid plans which begin to expend amounts for all newly eligible mandatory individuals

(1)

In general

Subject to paragraph (2), for the 8-quarter period beginning with the first calendar quarter during which a qualifying State (as defined in paragraph (4)) expends amounts for all newly eligible individuals described in section 1902(a)(10)(A)(i)(VIII) under the State plan (or waiver of such plan), the Federal medical assistance percentage determined under subsection (b) for such State shall be increased by 5 percentage points.

(2)

Exception

In the case of a State that ceases to provide medical assistance to any newly eligible individual under the State plan (or waiver of such plan) during a quarter occurring during the period described in paragraph (1), the increase described in such paragraph shall not apply with respect to such State and such quarter (or any succeeding quarter).

(3)

Special application rules

Any increase described in paragraph (1)—

(A)

shall not apply with respect to disproportionate share hospital payments described in section 1923;

(B)

shall not be taken into account in calculating the enhanced FMAP of a State under section 2105; and

(C)

shall not be taken into account for purposes of part A, D, or E of title IV.

(4)

Definition

For purposes of this subsection, the term qualifying State means a State which has not expended amounts for all newly eligible individuals described in section 1902(a)(10)(A)(i)(VIII) before the date of the enactment of this subsection.

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