This report describes the basic elements of Medicaid, focusing on federal rules governing who is eligible, what services are covered, how the program is financed and how beneficiaries share in the cost, how providers are paid, and the role of special waivers in expanding eligibility and modifying benefits. The recently passed Deficit Reduction Act of 2005 or DRA, as amended by the Tax Relief and Health Care Act of 2006, included many provisions affecting Medicaid. DRA provides states with opportunities to make fundamental changes in Medicaid program design, including covered benefits and beneficiary cost-sharing. These and other major DRA changes are summarized here. Lastly, basic program statistics and citations to in-depth CRS reports on specific topics are provided.
This report describes the basic elements of Medicaid, focusing on federal rules governing who is eligible, what services are covered, how the program is financed and how beneficiaries share in the cost, how providers are paid, and the role of special waivers in expanding eligibility and modifying benefits.
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