Adds to existing law to create a Medicaid budget stabilization fund.

This legislation creates the Medicaid Budget Stabilization Fund for Medicaid benefits and services. In 2020, the US Department of Health and Human Services Secretary, Alex Azar, issued a Public Health Emergency Declaration. Congress passed the Families First Coronavirus Response Act shortly thereafter, which carried with it an increase in the Federal Medical Assistance Percentage (FMAP), the federal match for the Medicaid program tied to the duration of the public health emergency. During the emergency declaration, FMAP is increased by 6.2%, which results in approximately $10 to $12 Million more in federal Medicaid funding per month. This FMAP increase will result in an estimated $55 Million surplus in Fiscal Year 2021. In January 2021, the acting Secretary of Health and Human Services sent a letter to all governors announcing the Biden Administration’s intent to extend the emergency declaration at least through the end of calendar year 2021. Because the surplus will be the result of specific, dedicated federal funding for the Medicaid program, this legislation allows the surplus General Fund moneys to be retained in a budget stabilization fund to offset future shortfallsintheMedicaidbudget. TheMedicaidBudgetStabilizationFundmayonlybeaccessedbylegislative appropriation, and may only accept surplus funds generated through the Medicaid budget