AP NEWS

Bill seeking to overhaul Medicaid with block grants advances

March 26, 2019

NASHVILLE, Tenn. (AP) — A proposal proponents argue will overhaul how Tennessee provides health care to its lower-income and disabled residents is headed to the House floor.

The House Finance, Ways and Means Committee on Tuesday agreed to advance the bill after minimal debate.

If successful, the bill would direct Gov. Bill Lee and the chair of the Department of Finance and Administration to submit a waiver asking the federal government to send Tennessee a fixed amount of money each year in the form of block grants.

Currently, the federal government pays an agreed-upon percentage of each state’s Medicaid costs, no matter how much they rise in any given year.

For Tennessee, that means the state receives approximately $7.5 billion in federal money for its $12.1 billion Medicaid program.