Iowa gets $6.8M Medicaid bonus

December 28, 2010

DES MOINES, Iowa —Iowa will get a $6.8 million bonus from the federal government for simplifying Medicaid eligibility and enrollment processes for children who apply for Medicaid.

Iowa learned of the bonus on Monday and Charles Krogmeier, the director of the Iowa Department of Human Services, says Iowa has long been a leader in covering the health needs of children and the timing of the bonus couldn’t be better.

The Des Moines Register reports the bonus will be enough to cover a projected $5 million shortfall in the state’s Medicaid budget for the current fiscal year, which ends June 30.

But state lawmakers still face an estimated $581 million increase in Medicaid expenses for the next fiscal year, which begins July 1.

Iowa was one of 15 states that received bonuses.

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