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States' Use of Local Provider Participation Funds as the State Share of Medicaid Payments

Local units or jurisdictions of government have the option to use Local Provider Participation Funds (LPPFs) to generate and collect local funding to finance the State share of Medicaid supplemental and directed payment programs. In the past several years, some States and local units of governments have increasingly used LPPFs to fund the State share of Medicaid payments. As such, we will determine whether the LPPFs the State agency used as the State share of Medicaid payments were permissible and in accordance with applicable Federal and State requirements.

Announced or Revised Agency Title Component Report Number(s) Expected Issue Date (FY)
November 2021 Centers' for Medicare and Medicaid Services States Use of Local Provider Participation Funds as the State Share of Medicaid Payments Office of Audit Services W-00-22-31557 2023