Children's Hospitals Call on CMS to Withdraw Block Grant Guidance to States

For more information contact Elleni Almandrez (202) 753-5364.

WASHINGTON, D.C. — The Centers for Medicare & Medicaid Services (CMS) released guidance to state Medicaid directors giving them the authority to restructure their Medicaid programs by implementing block grants focusing on adults. By cutting federal funding to states, these block grants would threaten needed health care access and coverage for working families across the country.

While framed as additional flexibility for state governments, block grants do not account for natural disasters, public health emergencies, rapid changes in demographics or even unexpected medical costs. This new policy would directly impact parents and result in financial pressures on state Medicaid programs that would weaken the overall program. Healthy families can better support the health of our nation's children.

Beyond changing the fundamental financing model, states could eliminate a key benefit for 19 and 20-year-olds—Early and Periodic Screening, Diagnostic and Treatment (EPSDT) services. This benefit provides medically necessary services—from preventative to specialized care.

Children's hospitals, on behalf of the patients and families we serve, oppose federal Medicaid cuts that could negatively affect children and families. We ask the administration to withdraw this guidance and work with states, providers and beneficiaries on solutions that support the health of working families.