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Gov. John Carney is recommending that the Department of Health and Human Services increase its budget by 8.4%, increasing Medicaid costs by nearly $95 million.
When the COVID-19 public health emergency ended in May 2023, Delaware’s Medicaid enrollment growth matched the national peak of 32%.
DHSS is requesting $84.2 million to cover Medicaid inflation and volume issues to address the reduction in federal matching aid rates following the pandemic.
The Department is also requesting additional one-time funding totaling $10.4 million to address this change in federal assistance and to support the increased number of requalifications expected to be completed by July of this year. ing.
Medicaid and Medical Assistance Division
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DHSS
State Medicaid Director Andrew Wilson explains that the state is currently beginning a mitigation process to redetermine eligibility for more than 300,000 Medicaid participants, and the additional funding will aid in that process.
“The support in this budget will allow DMMA to continue providing benefits to more than 250,000 Delawareans and maintain our investments in long-term support services over the past several years,” Wilson said.
The state’s total Medicaid spending now totals more than $1 billion, accounting for just under 16% of the state’s total operating budget.
Wilson also noted disparities in Medicaid spending by population in Delaware.
People with disabilities make up about 9% of people eligible for Medicaid, but they account for more than 30% of Medicaid spending, and Wilson points to a similar discrepancy.
“Children, on the other hand, make up about 37% of the Medicaid population, but only about 18% of spending.”
Mr. Carney chose not to provide funding to increase personal living allowances for Medicaid recipients from a total of $50 per month to $75 per month.
DHSS Secretary Josette Manning said the department has found alternative funding to cover the $300,000 request.
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