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Biden-Harris Administration Extends Millions in Funding to New York and Minnesota Basic Health Programs

MinnesotaCare and New York’s Essential Plan receive millions of dollars through American Rescue Plan

Nov 12, 2021 – The Centers for Medicare & Medicaid Services (CMS) recently announced additional funding in 2022 to support the Basic Health Program in New York and Minnesota

Through the American Rescue Fund, CMS is proving an additional $750 million to the New York Essential Plan, which is New York’s Basic Health Program (BHP). An additional $100 million is being made available in 2022 to MinnesotaCare, Minnesota’s BHP.

Basic Health Program Specifics

Under Section 1331 of the Affordable Care Act, states have the option to create a Basic Health Program. These programs provide coverage for low to moderate-income individuals whose income levels make them ineligible for Medicaid and CHIP. 

“The Basic Health Program is an important option for states to provide comprehensive health coverage to low- and moderate-income families,” said CMS Administrator Chiquita Brooks-LaSure. “I’m glad that we can support Minnesota’s successful program as the state ensures that its residents have access to affordable, comprehensive care.” 

Currently, Minnesota and New York are the only states implementing a Basic Health Program.

New York Essential Plan

The additional $750 million in funds will help the state provide quality and affordable health care coverage to approximately 1 million consumers.

“Thanks to the American Rescue Plan, we are making increased investments to protect health coverage access for vulnerable New Yorkers,” said Health and Human Services Secretary Xavier Becerra. “New York’s Essential Plan is another strong example of the Biden-Harris Administration working hand-in-hand with states to help more Americans realize the peace of mind that comes with health coverage.”

MinnesotaCare Basic Health Program

The additional $100 million in funds in 2022 will support Minnesota’s ability to provide affordable and quality care to approximately 100,000 consumers. 

“Thanks to the American Rescue Plan, we are making increased investments to protect health coverage access for vulnerable Minnesotans,” said Health and Human Services Secretary Xavier Becerra. “MinnesotaCare is another strong example of the Biden-Harris Administration working hand-in-hand with states to help more Americans realize the peace of mind that comes with health coverage.”

For more information on the revised federal formula that made the additional funding possible, check out the bulletin released by CMS’s Center for Medicaid and CHIP Services.

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