New report explores implications of capped Medicaid funding for Texas

February 1, 2017

A new report released by Manatt Health explores the potential fiscal ramifications of transforming Medicaid through block grants or per capita caps which, for the first time, would create a fixed allocation of federal Medicaid dollars.

For states like Texas, where the majority of funding is for the elderly and for people with disabilities, the promise of greater flexibility may not be enough to compensate for a deep reduction in federal dollars, researchers found.

The report was commissioned by the Texas Alliance for Health Care, a diverse coalition of health care stakeholders including hospitals and physician providers, charitable and health foundations, business leaders and a host of industry experts. EHF is a member of the alliance.