** 07/09/24 - NASBO Washington Report - state fact sheets re health care cost savings achieved under the IRA and the Affordable Care Act (ACA) + CMS Authorizes 5 Additional States (including Illinois) to Provide Health Care Coverage During the Transition from Incarceration + CMS Announces First Participants in the State AHEAD Model

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Jul 9, 2024, 11:09:29 PM (9 days ago) Jul 9
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  • The Department of Health and Human Services (HHS) released state fact 
  • sheets highlighting health care cost savings achieved under the IRA and 
  • the Affordable Care Act (ACA). The fact sheets show enrollee savings on
  •  Medicare Part D out-of-pocket costs, insulin, vaccines, and Marketplace 
  • premiums along with the latest enrollment data for Medicare, Medicaid, 
  • and Marketplaces.
    

CMS Authorizes Five Additional States to Provide Health Care Coverage During the Transition from Incarceration

Last week the Centers for Medicare and Medicaid Services (CMS) approved Medicaid and Children’s Health Insurance Program (CHIP) demonstrations that will allow Illinois, Kentucky, Oregon, Utah, and Vermont to provide coverage before adults and youth transition out of incarceration. These states join California, Massachusetts, Montana, and Washington. The Medicaid Reentry Section 1115 Demonstration Opportunity allows a state to cover certain services not otherwise coverable in Medicaid and CHIP up to 90 days before an eligible person’s expected release from incarceration. Additionally, states will be able to help connect the person to community-based Medicaid and CHIP providers up to 90 days prior to release to ensure continuity of care. CMS continues to review applications from other states under a streamlined approach.
      

CMS Announces First Participants in the State AHEAD Model

On July 2 the Centers for Medicare and Medicaid Services (CMS) announced that Maryland, Vermont, and Connecticut have been selected as the first states to participate in the States Advancing All-Payer Health Equity Approaches and Development (AHEAD) Model. Hawaii will also participate, pending satisfaction of certain requirements. CMS will issue Cooperative Agreements to each state, which will have the opportunity to receive up to $12 million during the first five and a half years of the model to support implementation. CMS and the participating states will work collaboratively to curb health care cost growth, improve population health, and advance health equity by reducing disparities in health outcomes. The agency will issue Cooperative Agreements to up to four additional states in fall 2024; letters of intent are due by July 26 and applications are due by August 12 for the third and final cohort. Additional information, including a model factsheet and frequently asked questions, can be found here.


CMS Authorizes Five Additional States to Provide Health Care Coverage During the Transition from Incarceration

Last week the Centers for Medicare and Medicaid Services (CMS) approved Medicaid and Children’s Health Insurance Program (CHIP) demonstrations that will allow Illinois, Kentucky, Oregon, Utah, and Vermont to provide coverage before adults and youth transition out of incarceration. These states join California, Massachusetts, Montana, and Washington. The Medicaid Reentry Section 1115 Demonstration Opportunity allows a state to cover certain services not otherwise coverable in Medicaid and CHIP up to 90 days before an eligible person’s expected release from incarceration. Additionally, states will be able to help connect the person to community-based Medicaid and CHIP providers up to 90 days prior to release to ensure continuity of care. CMS continues to review applications from other states under a streamlined approach.
    





July 9, 2024

This Week in DC  

The House and Senate are in session this week.
 
The House convened Monday and considered six bills. For Tuesday and the balance of the week, the House will consider five bills, including the Legislative Branch Appropriations Act, 2025 (H.R. 8772). Committee activity scheduled for the week includes: the Small Business Committee will hold a hearing Wednesday on the current economic landscape and the Agriculture Committee will hold a hearing Wednesday on EPA actions and agriculture.
 
The Senate convened Monday and on Tuesday continues consideration of administration and judicial nominations. Committee activity scheduled for the week includes: the Finance Committee will hold a hearing Tuesday on the state of child care and federal policy solutions; the Agriculture, Nutrition and Forestry Committee will hold a hearing Wednesday on the state of rural infrastructure; and the Special Committee on Aging will hold a hearing Thursday on health care transparency.
 
 

Treasury Releases SLFRF Reporting Resources

Last week the Treasury Department released new reporting resources for the State and Local Fiscal Recovery Funds (SLFRF) program. The department released the July 2024 Project and Expenditure Report User Guide, for quarterly reports due July 31. This follows the previous update to the Compliance and Reporting Guidance. Treasury also released supplemental guidance related to environmental review guidance for Title I projects.
 
 

COVID-19 Relief Implementation and Administration Actions

The following guidance and information were recently released to implement provisions in the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (Division M of H.R. 133, the Consolidated Appropriations Act, 2021), and the American Rescue Plan Act of 2021 (ARPA).
  • Treasury Announces $97 Million to Alabama Through SSBCI: The Treasury Department announced the approval of Alabama’s state plan for up to $97 million through the State Small Business Credit Initiative (SSBCI).
  • Treasury Announces Additional Technical Assistance Funding from SSBCI: The Treasury Department announced the approval of plans for an additional $10 million in technical assistance funding allocated to four states (AL, CO, HI, MN), two territories (AS, USVI), the District of Columbia, and one Tribal government under the State Small Business Credit Initiative (SSBCI).
  • Treasury Announces Up to $65 Million for Tribal Governments Through SSBCI: The Treasury Department announced the approval of plans for up to $65 million in funding allocated to 18 Tribal governments under the State Small Business Credit Initiative (SSBCI).
  • HHS Announces $27.5 Million in Behavioral Health Funding Opportunities: The Department of Health and Human Services (HHS) announced $27.5 million in notices of funding opportunities aimed at improving women’s behavioral health. The funding, authorized by ARPA, will expand access to services and enhance the capacity of providers to identify and address mental health conditions, substance use, and gender-based violence.
  • IRS Proposes Rule on Recapture of Interest on Excess Credits: The Internal Revenue Service (IRS) published a notice of proposed rulemaking on recapture of interest on excess credits under the Families First Coronavirus Response Act, CARES Act, and ARPA. The proposed rule sets out regulations for the IRS to assess as an underpayment of tax any overpayment interest paid to a taxpayer on an erroneous refund of the employment tax credits. These proposed regulations affect businesses, tax-exempt organizations, and certain governmental entities that claim the paid sick leave credit and the paid family leave credit under the Families First Act and ARPA, and that claim the employee retention credit under the CARES Act and ARPA. Comments are due by August 16.
 
 

IIJA Implementation Resources Released

Federal agencies continue to release implementation resources pertaining to the Infrastructure Investment and Jobs Act (IIJA, P.L. 117-70).
  • The Department of Energy (DOE) announced $14 million to increase consumer battery recycling and create a more sustainable domestic battery supply chain. The selected projects will provide more than 1,000 collection points for spent batteries from consumer products.
  • The Bureau of Reclamation announced $8.9 million to protect watershed health and build more resilient water supplies across the West. Funding will support six new cooperative projects and 12 existing cooperative projects in 12 states. A full list of projects can be found here.
  • The Department of Transportation (DOT) announced a notice of funding opportunity for the third round of the Reconnecting Communities Pilot (RCP) program, with the fiscal year 2024 notice containing fiscal years 2024-2026 funding of more than $600 million available for both capital construction ($457 million) and community planning grants ($150 million). Communities interested in the program but not yet ready to submit an application for funding can request free technical assistance. Applications are due by September 30.
  • The Federal Highway Administration (FHWA) published an advance notification of federal-aid highway funds to be apportioned on October 1, 2024. The funds, apportioned across several programs, total approximately $55.7 billion.
  • The Federal Transit Administration (FTA) announced approximately $1.5 billion to support 117 projects that will improve public transportation in 47 states. The funding will be used to replace and modernize transit buses, and U.S. factories will produce more than 4,600 of these new buses. A list of projects can be found here.
  • The National Oceanic and Atmospheric Administration (NOAA) announced $10 million in funding to support social science research related to flooding services and products. The funds will allow NOAA to better understand how the public uses communication products and reacts to emergency announcements during floods and other weather events, with a goal of better weather emergency preparation.
 
 

IRA Implementation Resources Released

The administration recently announced the following implementation resources for the Inflation Reduction Act (IRA, P.L. 117-169).
  • The Department of Health and Human Services (HHS) released state fact sheets highlighting health care cost savings achieved under the IRA and the Affordable Care Act (ACA). The fact sheets show enrollee savings on Medicare Part D out-of-pocket costs, insulin, vaccines, and Marketplace premiums along with the latest enrollment data for Medicare, Medicaid, and Marketplaces.
 
 

CMS Authorizes Five Additional States to Provide Health Care Coverage During the Transition from Incarceration

Last week the Centers for Medicare and Medicaid Services (CMS) approved Medicaid and Children’s Health Insurance Program (CHIP) demonstrations that will allow Illinois, Kentucky, Oregon, Utah, and Vermont to provide coverage before adults and youth transition out of incarceration. These states join California, Massachusetts, Montana, and Washington. The Medicaid Reentry Section 1115 Demonstration Opportunity allows a state to cover certain services not otherwise coverable in Medicaid and CHIP up to 90 days before an eligible person’s expected release from incarceration. Additionally, states will be able to help connect the person to community-based Medicaid and CHIP providers up to 90 days prior to release to ensure continuity of care. CMS continues to review applications from other states under a streamlined approach.
 
 

CMS Announces First Participants in the State AHEAD Model

On July 2 the Centers for Medicare and Medicaid Services (CMS) announced that Maryland, Vermont, and Connecticut have been selected as the first states to participate in the States Advancing All-Payer Health Equity Approaches and Development (AHEAD) Model. Hawaii will also participate, pending satisfaction of certain requirements. CMS will issue Cooperative Agreements to each state, which will have the opportunity to receive up to $12 million during the first five and a half years of the model to support implementation. CMS and the participating states will work collaboratively to curb health care cost growth, improve population health, and advance health equity by reducing disparities in health outcomes. The agency will issue Cooperative Agreements to up to four additional states in fall 2024; letters of intent are due by July 26 and applications are due by August 12 for the third and final cohort. Additional information, including a model factsheet and frequently asked questions, can be found here.
 
 

CMS Releases State Request for Applications for Cell and Gene Therapy Access Model

The Centers for Medicare and Medicaid Services (CMS) recently released a state request for applications (RFA) for the Cell and Gene Therapy (CGT) Access Model. The model aims to improve the lives of people with Medicaid living with rare and severe diseases by increasing access to potentially transformative treatments. The CGT Access Model is a multi-year voluntary model for states and manufacturers; CMS anticipates states to begin with a rolling start in January 2025. A notice of funding opportunity to states is anticipated later in summer 2024.
 
 

ACF Publishes Interim Final Rule on TANF Work Outcomes

The Administration for Children and Families (ACF) recently published an interim final rule in the Federal Register on Temporary Assistance for Needy Families (TANF) work outcomes measures. The interim final rule (IFR) modifies ACF regulations to implement the statutory changes enacted by section 304 of the Fiscal Responsibility Act of 2023 (P.L. 118-5) related to the reporting of work outcomes under TANF. The act requires each state to collect and report information relating to work outcomes measures for work-eligible individuals in TANF and the IFR will update the existing TANF data regulations to reflect the new reporting requirements. States and territories must begin reporting on the requirements in fiscal year 2025. To ensure nationwide comparability of data, all states and territories must collect and submit the information necessary to determine four indicators of performance: employment rate after exit, employment retention rate, median earnings, and secondary school diploma or its recognized equivalent attainment rate. The IFR is effective on October 1, 2024 and comments must be received on or before December 26, 2024.
 
 

ACF Announces SSBG Fourth Quarter Funds

On Monday the Administration for Children and Families (ACF) announced the distribution of fourth quarter funds for the Social Services Block Grant (SSBG) and Consolidated Block Grant (CBG) for federal fiscal year 2024. Fourth quarter funds in this release are available for SSBG grant recipients with complete, accepted plans for the period from July 1, 2024, through September 30, 2024. An allocation table can be found here.
 
 

FNS Issues Memo on Fiscal Year 2025 WIC Voucher/Benefit Amounts

Last week the Food and Nutrition Service (FNS) issued a policy memorandum for the Special Supplemental Nutrition Program for Women, Infants and Children (WIC). The memo provides the fiscal year 2025 inflation-adjusted monthly cash-value voucher/benefit amounts for fruit and vegetable purchases. The monthly amounts listed in the memo are effective October 1, 2024 to September 30, 2025. The Revisions in the WIC Food Packages final rule, published in April 2024, permanently increased the base amounts of the monthly benefits to align with current nutrition science-based recommendations.
 
 

EPA Revises Guidelines for Nonpoint Source Pollution Grants

The Environmental Protection Agency (EPA) recently announced revised guidelines for eligible recipients (states, territories, and the District of Columbia) awarded federal grants under section 319 of the Clean Water Act for the implementation of nonpoint source management programs. The 2024 guidelines describe the requirements that apply to recipients of grants and will replace the Nonpoint Source Program and Grants Guidelines for States and Territories that have been in effect since the fiscal year 2014 grant cycle. The revisions are intended to advance new science and information, engage communities, and guide the national Nonpoint Source Program.
 
 

FEMA Adds 93 Communities and Tribes to Free Technical Assistance Under BRIC

Last Wednesday the Federal Emergency Management Agency (FEMA) announced 93 local communities, Tribes and territories across all 10 FEMA regions will receive non-financial technical assistance to help build community-wide resilience through the Building Resilient Infrastructure and Communities (BRIC) grant program. FEMA uses the technical assistance to provide support to communities, territories and Tribal Nations that may not have the resources to begin climate resilience planning and project solution design. Selected communities receive support for BRIC technical assistance from pre-application activities to grant closeout for up to 36 months. This announcement follows the recent selection of  656 BRIC projects.
 
 

FWS Announces $7.4 Million in Conservation Grants for States and Territories

On Wednesday the U.S. Fish and Wildlife Service (FWS) announced $7.4 million under the Competitive State Wildlife Grants (C-SWG). The service will fully fund 15 projects that advance conservation and species recovery, which were selected from a nationally competitive slate of proposals to address priorities identified in each agency’s Wildlife Action Plan. Selected state fish and wildlife agency recipients and their partners will contribute $2.4 million in non-federal funds to support the selected projects. The 2024 primary recipients are located in the Commonwealth of the Northern Mariana Islands, Guam, Hawaii, Iowa, Michigan, Minnesota, Nebraska, North Carolina, South Carolina, and Wisconsin. The Western Association of Fish and Wildlife Agencies also received an award that will be distributed to California, Idaho, Oregon, and Washington. Project summaries can be found here.
 
 

DOL Announces Grants for Job Training, Services

Last week the Department of Labor (DOL) announced two grants awards for job training and supportive services. First, the department announced the award of nearly $47 million in grants to 14 organizations to improve access to employment opportunities and help support communities address the violence, crime and poverty that limits educational and employment opportunities for people aged 15 to 24. The funds are under the fourth round of Growth Opportunities funding for programs that provide jobs, skills training, and supportive services. A list of recipients is included in the announcement. Second, DOL announced the award of more than $56 million in grants to reduce recidivism and assist people re-entering their communities after being incarcerated. The Pathway Home grant funding will build on the Linking Employment Activities pre-release pilots and implementation study and provide funding for justice-involved people to complete training for skills most valued by local employers. A list of recipients is included in the announcement.
 
 

Treasury Releases Proposed Rule to Expand CFIUS Coverage Near Military Installations

On Monday the Treasury Department issued a notice of proposed rulemaking that would expand the Committee on Foreign Investment in the United States’ (CFIUS) jurisdiction over certain transactions by foreign persons involving real estate. Pursuant to legislation passed by Congress in 2018, CFIUS has the authority to review certain real estate transactions near specified military installations and to take action in appropriate circumstances. This proposed rule would add more than 50 military installations, across 30 states, to the existing list of installations around which CFIUS has jurisdiction, including over land purchases. Comments on the proposed rule will be accepted for 30 days following publication in the Federal Register.
 
 

Administration Releases Semiannual Regulatory Update

On Friday the administration released its Spring 2024 Unified Agenda of Regulatory and Deregulatory Actions. This reports on the actions federal agencies plan to issue in the near and long term. Regulations include expanded final rules requiring insurers to treat mental health care the same as other care, final modifications to the Medicaid drug rebate program, rules for prescribing controlled substances via telemedicine, Temporary Assistance for Needy Families (TANF) work participation rate calculation changes, drinking water method update rule for the National Primary Drinking Water Regulations, and more.
 

Recently Released Reports

Pre-Disaster Housing Planning Initiative - 2023 Final Report
Federal Emergency Management Agency/Department of Housing and Urban Development
 
Social Services Block Grant FY2022 Annual Report
Administration for Children and Families
 
Beyond the Crystal Ball: State Revenue Forecasts Before, During, and After the COVID-19 Pandemic
Tax Policy Center

Economic News

Economy Adds 206,000 Jobs in June

New data recently released by the U.S. Bureau of Labor Statistics showed total nonfarm payroll employment increased by 206,000 in June and the unemployment rate changed little at 4.1 percent. The number of unemployed people, at 6.8 million, changed little in June. The number of long-term unemployed (jobless for 27 weeks or more) rose by 166,000 to 1.5 million and accounted for 22.2 percent of the total unemployed. The labor force participation rate was little changed at 62.6 percent. In June, notable job gains occurred in government (70,000), health care (49,000), social assistance (34,000), and construction (27,000). Employment decreased for retail trade (-9,000) and professional and business services (-17,000). Employment showed little change in mining, quarrying, and oil and gas extraction; manufacturing; wholesale trade; transportation and warehousing; information; financial activities; leisure and hospitality; and other services. State government jobs saw an increase of 26,000, with increases in state government, excluding education (13,000) and state government education (12,600). The change in total nonfarm payroll employment was revised down for April (-57,000) and May (-54,000).
 
 

Job Openings See Little Change in May

The number of job openings changed little at 8.1 million on the last business day of May, according to data recently released by the U.S. Department of Labor. This measure was down by 1.2 million over the year. Job openings decreased in accommodation and food services (‑147,000) and in private educational services (-34,000) but increased in state and local government, excluding education (+117,000), durable goods manufacturing (+97,000), and federal government (+37,000). The number of hires was little changed at 5.8 million and the hires rate was little changed at 3.6 percent. The number of separations changed little at 5.4 million. The 3.5 million quits reported in May changed little and over the year, quits were down by 550,000. Finally, layoffs and discharges changed little at 1.7 million.
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