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Audit (A-02-09-01029)

05-26-2010
Review of New York State’s Compliance With the Political Subdivision Requirement for the Increased Federal Medical Assistance Percentage Under the American Recovery and Reinvestment Act of 2009

Executive Summary

New York State complied with the political subdivision requirement for receiving the increased Federal medical assistance percentage (FMAP) under the American Recovery and Reinvestment Act of 2009 (Recovery Act). Specifically, the State did not require its social services districts (i.e., political subdivisions) to contribute a greater percentage of the nonFederal share of Medicaid expenditures than the percentage required under the State Medicaid plan on September 30, 2008. For the recession adjustment period (October 1, 2008, through December 31, 2010), the Recovery Act will provide an estimated $87 billion in additional Medicaid funding based on temporary increases in States’ FMAPs. A State is not eligible for the increased FMAP if it requires its political subdivisions to pay a greater percentage of the non-Federal share of Medicaid expenditures than the percentage required under the State Medicaid plan on September 30, 2008.

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