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Congressman Chris Collins

Representing the 27th District of New York

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Congressman Chris Collins Introduces Legislation to Reduce Medicaid Costs

Apr 26, 2016
Press Release

Congressman Chris Collins (NY-27) today released the following statement after introducing H.R. 5021, the Better Accounting for Medicaid Costs Act. The legislation will focus on reducing costs associated with Medicaid information requirements.

“States and the federal government currently spend over $500 billion a year on Medicaid,” said Congressman Collins. “If we are serious about tackling our nation’s budgetary challenges, we must confront this massive and out-of-control expense.

“Through common-sense measures, we can easily save taxpayer dollars, while improving transparency and accountability within the Administration. This legislation will protect states and the federal governments from unknowingly footing the bill for overly expensive Medicaid policy clarifications. Requiring the Centers for Medicare and Medicaid Services (CMS) to provide notice and comment rulemaking on sub-regulatory guidance that will cost states over $50 million or the federal government over $100 million in one year is simply smart policy.”

Lately, CMS has issued expensive Medicaid policy clarifications and interpretations through informal guidance such as letters to State Medicaid Directors, Informational Bulletins, and Frequently Asked Questions. Sub-regulatory guidance makes sense for certain updates and changes, given the Federal-State nature of the Medicaid program. However, some of these “clarifications” can actually present states and the federal government with high and unexpected costs.

This legislation requires CMS to go through notice and comment rulemaking if the Secretary of HHS determines that Medicaid sub-regulatory guidance will cost states over $50 million or the federal government over $100 million in one year, increasing transparency and accountability within the entitlement program.

Full text of the legislation can be read here.

Congressman Collins is a member of the Energy and Commerce Health Subcommittee which has jurisdiction over this legislation.