JFAC approves Medicaid FY2025 supplementals ($415.2M) and FY2026 package ($674.2M) including hospital assessment, MMIS and behavioral health funding

The Joint Finance‑Appropriations Committee on an affirmative roll call approved a package of FY2025 Medicaid supplementals totaling $415,226,800 and a FY2026 appropriations package totaling $674,192,600 that funds ongoing hospital assessment work, Medicaid forecast adjustments and several federally required contracts.

The supplemental package approved for FY2025 included funding for a managed care external quality review, configuration and implementation costs tied to the Idaho Behavioral Health Plan, an updated Medicaid forecast and a hospital assessment fund transmission to draw federal matching dollars. The FY2026 package added ongoing hospital assessment appropriations, increased funding for MMIS procurement (the Medicaid management information system), more actuarial contract funding and population‑forecast adjustments.

Why it matters: the actions enable the Department of Health and WelfareDivision of Medicaid to draw federal matching funds, meet CMS and court reporting and review requirements, and continue a multi‑year IT replacement. Committee members said failing to fund these items could interrupt federal draws, delay required surveys and slow the MMIS replacement progress.

Alex Williamson, budget and policy analyst with Legislative Services, walked the committee through the line items and described several as federal or court mandates. On the managed care review Williamson said, "This is a federal requirement." Williamson told the committee the Idaho Behavioral Health Plan went live in July and…