Medicaid provides both institutional and community-based long-term care. Historically many states spent more on institutional-based care than community-based services, but the balance is changing. In 2013, spending on community-based services and supports comprised over 50% of all spending on long term services and supports.
Programs like Money Follows the Person (MFP) help states make these services accessible to people in a setting of their choice. The MFP demonstration, first authorized by Congress as part of the Deficit Reduction Act of 2005, then expanded and extended through 2016 under the Affordable Care Act, supports states’ efforts to help Medicaid beneficiaries living in long-term care institutions for at least 90 days to return to the community if they wish.
View the video, “Gladys and Linda Return to the Community.”
As of December 2014, 44 states were actively transitioning participants under MFP, and 11,176 people with chronic conditions and disabilities had transitioned from institutions back into the community through MFP programs. To date, over 51,500 people have transitioned since the beginning of the program.
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