FY 2017 FMAPs Increase in 25 States, Decline in 12

On September 30, the Bureau of Economic Analysis (BEA) released revised state personal income and per capita personal income data for 2014, as well as revisions for prior years. The federal government uses state per capita personal income to calculate each state’s reimbursement rate for Medicaid and other grant programs such as Title IV-E adoption assistance and foster care. This matching rate, calculated annually, is known as the Federal Medical Assistance Percentage (FMAP). The Children’s Health Insurance Program (CHIP) uses an enhanced FMAP, which is higher than the Medicaid matching rate.

The BEA release allows calculation of the final fiscal year (FY) 2017 FMAPs and enhanced FMAPs, which are based on per capita personal incomes for calendar years 2012-2014.

This Issue Brief summarizes the BEA data and provides FFIS’s estimates of the final FY 2017 FMAPs and enhanced FMAPs. FFIS estimates that FMAPs will increase in 25 states and decline in 12 states.