The Centers for Medicare and Medicaid Services will make available $2.25 billion in state grants to support community-based alternatives to institutional long-term care.
According to Monday's CMS announcement, the grants will extend the "Money Follows the Person Rebalancing Demonstration" (MFP) with funding from the Affordable Care Act.
"The Money Follows the Person Rebalancing Demonstration has been critical to our efforts to deliver on the promise of the Americans with Disabilities Act and expand access to community living services," said Health and Human Services Secretary Kathleen Sebelius.
Sebelius encouraged states to take advantage of community initiatives in the Affordable Care Act, calling on them to leverage those options through active participation in the MFP.
Under the MFP, states will receive an enhanced Federal Medical Assistance Percentage (FMAP) for a one-year period for each individual they transition from an institution to a qualified home and community-based program, Sebelius said. States will be able to transition multiple population groups, including the elderly, people with intellectual, developmental or physical disabilities and mental illness or those who have a dual diagnosis.
Sebelius said CMS plans to hold a national call on MFP application on Aug. 11. Beginning in September, CMS will offer a series of technical assistance calls and training webinars to provide instruction to states on grant application development.