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HHSC is responsible for the reimbursement determination functions for the Texas Medicaid Program. Proposed rates are calculated utilizing established methodologies that conform to the Social Security Act and related federal regulations, the federally approved Texas Medicaid State Plan, all applicable state statutes and rules, and other requirements. HHSC reviews the Medicaid reimbursement rates for all acute care services every two years. These biennial reviews result in rates that are increased, decreased, or remain the same. The reviews are conducted to ensure that rates continue to be based on established rate methodologies.
The Provider Finance Department of Health and Human Services has posted a notice of proposed changes to fees, rates, or charges for Medicaid payments on Durable Medical Equipment and Enteral Supplies. The proposed rate reductions will be effective September 1, 2026, following the end of the American Rescue Plan Act (ARPA) of 2021. The public may check the rate packet for more details on these adjustments.
HHSC has announced that a public hearing will be conducted on November 10, 2025, at 9 a.m. to receive public comments on the proposed rates. The hearing will be conducted both in-person and online. Written testimony will be accepted before the deadline. To see more details, view the HHS hearing announcement.
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