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Klobuchar Announces Inclusion of Medicaid Funding Extension in Jobs Bill; Funding Was Originally Included in Budget Proposals by Governor, Legislature

Minnesota would receive $358 million for Medicaid funding through American Jobs and Closing Tax Loopholes Act

June 8, 2010

Washington, D.C. – U.S. Senator Amy Klobuchar announced today that an extension of the temporary increase in the enhanced federal matching rate for Medicaid, known as the Federal Medical Assistance Percentage (FMAP), has been included in the Senate’s jobs package. The American Recovery and Reinvestment Act had temporarily increased the matching rate by 6.2 percent, but that increase is set to expire at the end of the year. A provision to the American Jobs and Closing Tax Loopholes Act, which the Senate is currently considering, would extend the increase for another six months, through June 30, 2011.

“The additional Medicaid funding will help our state manage in these tough economic times. The Governor and state legislators originally included this funding as part of the state budget proposals and it should be helpful going forward,” Klobuchar said. “I will continue to fight to ensure Minnesota receives what is needed to help the families and children who depend on these benefits.”

Minnesota stands to receive up to $358 million in Medicaid funding if the extension is approved. The additional Medicaid dollars will be used to assist states with increased caseload in the face of decreased state revenues because of the recession.

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