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Medicaid Financing Clarification Act of 2026
To amend title XIX of the Social Security Act to clarify the intent of Congress with regards to Medicaid financing policies.
Summary
- Clarifies that Medicaid state plans can include public funds transferred from or certified by political subdivisions.
- Defines "public funds" to include State and local funds such as tax revenues, appropriations, fees, grants, earned interest, fines, sales or leases of public resources, legal settlements, bond revenues, tobacco settlement funds, and patient care revenues.
- Specifies that Federal funds may not be used as public funds unless authorized by Federal law to be used as matching funds for other Federal funds.
- Defines "political subdivision" as a separate legal entity of a State with specific governmental functions, such as counties, cities, towns, villages, and districts.
- Defines "public agency" as a unit of government, including a State or any political subdivision thereof.
AI-generated plain-language summary of the bill text — neutral, and may be imperfect. See the full text below for the exact wording.
Sponsor (1)
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Rep. Cammack, Kat (R-FL) [#3]
3 cosponsors
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Rep. Buchanan, Vern (R-FL) [#16] -
Rep. Crenshaw, Dan (R-TX) [#2] -
Rep. Moran, Nathaniel (R-TX) [#1]
Actions (2)
- Jun 4, 2026 Referred to the House Committee on Energy and Commerce. · house
- Jun 4, 2026 Introduced in House
Full text
IN THE HOUSE OF REPRESENTATIVES
June 4, 2026
Mrs. Cammack (for herself, Mr. Crenshaw, Mr. Buchanan, and Mr. Moran) introduced the following bill; which was referred to the Committee on Energy and Commerce
A BILL
To amend title XIX of the Social Security Act to clarify the intent of Congress with regards to Medicaid financing policies.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the “Medicaid Financing Clarification Act of 2026”.
SEC. 2. CLARIFYING THE INTENT OF CONGRESS WITH REGARDS TO MEDICAID FINANCING POLICIES.
(a) State Plans for Medical Assistance.—Section 1902(a) of the Social Security Act (42 U.S.C. 1396a(a)) is amended in paragraph (2) by inserting “, including public funds transferred from or certified by political subdivisions,” after “from local sources”.
(b) Definitions.—Section 1905 of the Social Security Act (42 U.S.C. 1396d) is amended by adding at the end the following new subsections:
“(ll) Public Funds.—For purposes of sections 1902(a)(2) and 1903(w), ‘public funds’ means State and local funds in the possession of a political subdivision or public agency, including tax revenues, appropriations, fees, grants, earned interest, fines, sale or lease of public resources, legal settlements and judgments, revenue from bond issuances, tobacco settlement funds, and patient care revenues. Federal funds may not be used as public funds unless authorized by Federal law to be used as matching funds for other Federal funds.
“(mm) Political Subdivision.—For purposes of subsections (cc) and
(ll) of this section and subsection 1902(a)(2), a ‘political subdivision’ is a separate legal entity of a State which has specific governmental functions. A political subdivision may include a county, city, town, village, district, non-State governmental entity, or other unit of local government in a State. “(nn) Public Agency.—For purposes of subsection (ll) of this section and subsections 1902(a)(2) and 1903(w), a ‘public agency’ is a unit of government, including a State or any political subdivision thereof.”. <all>
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