Money Follows the Person Federal Rebalancing Demonstration Grant Summary

In January 2007, the federal Centers of Medicare and Medicaid Services (CMS) approved New York's application to participate in the Money Follows the Person Federal Rebalancing Demonstration Program (MFP). The demonstration grant will provide enhanced Federal Medical Assistance Percentage (FMAP) reimbursement for select services to persons who transition to community based care after having been in a nursing home for more than six months.

The additional FMAP revenue for the State is anticipated to reach up to $27 million over five years beginning in January 2008 when identified participants are expected to begin to receive services in the community through the new Nursing Home Transition and Diversion (NHTD) waiver program. The $27 million is a projected amount based on the assumption that the State will transition 2800 individuals from nursing homes back into the community.

The MFP grants are intended to assist states in building infrastructures that will result in effective and enduring improvements in community-based long-term care and support systems for people with disabilities of all ages. Accordingly, the additional FMAP revenue is to be used to offset the cost of projects designed to rebalance the states' community based care system.

New York will use the enhanced reimbursement for several purposes identified in close cooperation with stakeholder advisors as necessary to improve access to long term community integrated care and services.

The planned initiatives include:

  • establishment of a Housing Taskforce, composed of the representatives of key State agencies and other stakeholders, to address housing related barriers to community reintegration;
  • communication with nursing home residents regarding community transition opportunities;
  • coordinated efforts with the DOH Discharge Planning Work Group, the Point of Entry program and advocates to avoid unnecessary acute care discharges to nursing home settings;
  • establishment of OMH and OMRDD procedures to assure that individuals with mental illness or developmental disabilities are provided information regarding community based options; and
  • provision of assistive devices on a loan basis through partnership with Technology Related Assistance for Individuals with Disabilities (TRAID).

Current Status

The State has been given a small planning grant to use in the first year for development of the MFP initiative.