CMS Sends Letters Stating Agency Will No Longer Approve Medicaid Waivers for Continuous
Eligibility or Employment-related Programs
On July 17, the Centers for Medicare & Medicaid Services (CMS) sent letters
to states stating the agency does not anticipate approving or extending waivers
that would allow states to use Medicaid funds for continuous eligibility
of enrollees or workforce programs, such as student loan repayment, or for workforce
training to recruit and retain providers.
Continuous eligibility programs allow enrollees to remain enrolled in their state’s
programs during a predetermined period, even if the enrollee experienced fluctuation in income.
Waivers for continuous enrollment have been granted to 12 states. CMS’s reasoning
provided in the letter focused on cost savings and stated that these programs
allow individuals to remain enrolled in Medicaid, even when they may not qualify or have other options for insurance.
Workforce training programs could operate similarly to the Student Loan Repayment for Qualified Providers and Career Pathways Training
in New York, which established student loan repayment for health care professionals,
including dentists, who committed to providing care to at least 30% Medicaid or uninsured populations.
The program also worked toward building the allied health care workforce by “funding
training and education focused on career advancement and unemployed individuals.”
According to the letter, five states have been granted waivers to focus on these types of programs.
CMS stated that the elimination of these types of waivers “reinforces statutory
boundaries, enhances oversight, and ensures taxpayer-funded benefits go only to
those who meet eligibility requirements so that we can prioritize funding for our most vulnerable citizens.”
This continues a trend of CMS refocusing the types of waivers they will approve
under the Trump administration. Earlier this year, the agency issued letters stating they would
no longer approve or extend waivers that support rural broadband initiatives or student loan repayments.