Relates to the appropriation to the Department of Health and Welfare for fiscal years 2025 and 2026.

This appropriation to the Department of Health and Welfare for the Division of Medicaid provides enhancements to the FY 2026 maintenance budget that include appropriations for the Hospital Assessment Fund, the federally required Consumer Assessment of Healthcare Providers and Systems (CAHPS) surveys, expenses for the Adult Developmental Disabilities Resource Allocation model required by court order, actuary contract amendments, the federally required External Quality Review contract for Managed Care Organizations, year four of the MMIS procurement process, and population forecast adjustments. This bill also provides the appropriation to move Extended Employment Services from Services for the Developmentally Disabled to the Division of Medicaid as part of the department's overall reorganization. This bill includes the fiscal impact of House Bill 345, the Medicaid Reform and Cost-Containment Act, which establishes sideboards on Medicaid expansion. The fiscal impact of House Bill 345 includes onetime development costs for waivers and ongoing implementation costs if those waivers are approved. Supplemental appropriations for FY 2025 include appropriation for the federally required External Quality Review contract, the Idaho Behavioral Health Plan (IBHP) system configuration changes that were part of the calendar year 2024 go-live implementation, the updated Medicaid forecast, IBHP capitation rate increases, and the Hospital Assessment Fund. This bill includes 5 sections of language providing guidance on federal funding limitations and directing the division to explore a value-based outpatient addiction treatment, work towards aligning contract periods with the state fiscal year, and provide annual reports to the Legislature on the Emergency Medicaid plan.