The bill improves continuity of Medicaid coverage and preserves HCBS access for people who relocate (especially military families) and funds federal implementation support, but shifts administrative and fiscal burdens to States and may still leave some beneficiaries waiting if receiving States lack needed services or if opt‑out complexity causes confusion.
Active-duty service members and their dependents keep their Medicaid residency and continuity of care when relocated, preventing gaps in coverage and care during moves.
States must pay for covered medical assistance furnished in the receiving State (as consistent with availability and HHS guidance), reducing out-of-pocket costs and cross-state payment disputes for beneficiaries.
People on State Home- and Community-Based Services (HCBS) waiting lists retain their place until assessment, eligibility decision, and fair‑hearing rights are exhausted, preserving access to long-term supports despite relocation.
Beneficiaries may still face delays or lack immediate access if the receiving State does not offer the requested HCBS or services, even though their waiting‑list status is preserved.
States will incur administrative and fiscal costs to implement residency, payment, and waiting‑list rules, which could create budget pressure or lead to shifts away from other services.
Requiring States to honor out‑of‑state HCBS assessments and rights could increase inter‑state disputes and demand substantial HHS oversight and guidance to resolve inconsistent program rules.
Based on analysis of 2 sections of legislative text.
Requires States to treat certain active-duty service members and families who relocate as Medicaid residents, preserve HCBS waiting-list positions during transfers, require payment for covered care in the receiving State, and provides $1M/year to HHS for implementation.
Introduced May 14, 2025 by Jennifer Kiggans · Last progress May 14, 2025
Requires State Medicaid plans to treat certain active-duty service members and their families who relocate as state residents for Medicaid eligibility (unless they opt out), preserves their position on home-and-community-based services (HCBS) waiting lists while the receiving State completes eligibility assessment and appeals, and requires States to pay for covered medical assistance furnished in the receiving State to the extent that assistance is available and consistent with HHS guidance. Provides $1,000,000 per year for FY2026–FY2030 to HHS for implementation and includes phased-in compliance timing to allow States that need to pass legislation extra time.