Medicaid Formula Alternative

HRD-93-17R: Published: Mar 2, 1993. Publicly Released: Mar 2, 1993.

Additional Materials:


Office of Public Affairs
(202) 512-4800

Pursuant to a congressional request, GAO provided information on states' Medicaid funding levels under different formulas. GAO noted that: (1) the current Medicaid funding formula is meant to reduce medical care coverage differences among states and fairly distribute the burden of financing program benefits; (2) benefits and financing burdens varied among states, partly due to the current formula not targeting funds to states with the greatest needs; (3) replacing per capita income with total taxable resources and people in poverty factors and reducing the minimum federal reimbursement percentage below 50 percent would achieve a more equitable distribution of funds to all states; and (4) the new formula would reallocate about $2.71 billion, or 5.15 percent of all Medicaid assistance, resulting in 23 states receiving reimbursements at an increased rate, and 28 states at a lower rate.

Sep 15, 2016

Sep 14, 2016

Sep 12, 2016

Sep 9, 2016

Sep 6, 2016

Aug 31, 2016

Looking for more? Browse all our products here