CMS Announces End of Approving Section 1115 Medicaid Demonstration Waivers’ Inclusion of Non-Medical Programs

On April 10, the Centers for Medicare and Medicaid Services (CMS) sent a letter to all state Medicaid directors, informing them that CMS would no longer be approving proposed 1115 Medicaid waivers’ inclusion of programs with a non-medical purpose, such as housing, nutrition, and transportation assistance. CMS’s rationale is that such programs have historically not otherwise been covered under Medicaid and should not be subject to federal matching funds as part of new Section 1115 applications (nor will existing ones be allowed as part of any renewals).