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Human Services panel urges restoring residential care rates after Medicaid study cut reimbursements

House Appropriations Committee · January 16, 2026
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

House Human Services Chair Teresa Wood told Appropriations the committee recommends restoring tier-1 enhanced residential care rates to the FY25 level ($72.37/day) after an administrative implementation of the Medicaid rate study rolled up lower-level cuts that would have driven payments as low as roughly $47/day.

Teresa Wood, chair of the House Human Services Committee, told the House Appropriations Committee on Jan. 15 that the committee recommends restoring tier-1 enhanced residential care Medicaid rates to the FY25 level of $72.37 per day.

Wood said the administration's implementation of a recent Medicaid rate study "rolled up things" in a way that masked decreases at lower levels of the rate structure. She said the result would have been a dramatic reduction in payments for residential care providers: "to reduce it down to $47 a day is preposterous." The committee…

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