THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE RESOLUTION

INTRODUCED BY DEASY, OLIVER, EACHUS, CURRY, DePASQUALE, DeLUCA, R. TAYLOR, GEORGE, KOTIK, MANN, MARKOSEK, MURPHY, M. O'BRIEN, READSHAW, SIPTROTH, YOUNGBLOOD, KULA, JOSEPHS, SANTONI, CASORIO, STURLA, MILLER AND WHEATLEY, MARCH 12, 2010

AS AMENDED, HOUSE OF REPRESENTATIVES, MARCH 17, 2010   

A RESOLUTION

Urging the Congress of the United States to pass and the

President of the United States to sign legislation to extend

the Federal Medical Assistance Percentage extension for the

states' Medicaid programs to June 30, 2011.

WHEREAS, Medicaid is a means-tested program that provides the

largest source of funding for medical and health services for

eligible individuals, families with low incomes and individuals

with disabilities; and 

WHEREAS, Medicaid is financed jointly by the Federal and

State governments; and 

WHEREAS, The amount of funds a state receives from the

Federal Government for its Medicaid program is calculated

annually using the statutorily devised Federal Medical

Assistance Percentage (FMAP) formula; and

WHEREAS, The FMAP formula determines the costs the Federal

Government will pay a state for its Medicaid program, which must

equal at least 50%, regardless of the result of applying the

formula; and 

WHEREAS, Under the American Recovery and Reinvestment Act of

2009 (ARRA), the Congress increased the FMAP share to help state

governments achieve a degree of economic stability during the

economic downturn; and 

WHEREAS, Pennsylvania's original FMAP rate for fiscal year

2009 equaled 54.5%; and

WHEREAS, The FMAP adjustments, commonly referred to as

"Enhanced FMAP," authorized under the ARRA increased

Pennsylvania's fiscal year 2009 FMAP to 63.1%; and 

WHEREAS, Pennsylvania's Enhanced FMAP rate for fiscal year

2010 has been calculated at 65.9%; and

WHEREAS, The total amount of Federal funds Pennsylvania will

receive under the Enhanced FMAP has been calculated at

approximately $2.5 billion; and

WHEREAS, Pennsylvania's Enhanced FMAP rate provided the

financial safety net that the Commonwealth desperately needed to

protect it from further economic decline; and

WHEREAS, Experts and economists maintain that Enhanced FMAP

is one of the most effective tools for generating economic

activity nationwide; and 

WHEREAS, The likelihood exists, however, that Pennsylvania

will face an estimated $850 million budget shortfall if the

Enhanced FMAP is not extended; and

WHEREAS, The provisions of the ARRA which authorized the

Enhanced FMAP are set to expire on December 31, 2010; and

WHEREAS, Recently, 47 of the nation's governors signed a

letter to Congress in support of a temporary extension of

Enhanced FMAP through June 30, 2011; and 

WHEREAS, President Barack Obama included additional funding

for Enhanced FMAP in his fiscal year 2011 budget; and 

WHEREAS, The United States House of Representatives has voted

to extend the 6.2% FMAP enhancement provided under the ARRA for

an additional six months; and 

WHEREAS, The United States Senate is currently considering

legislation that would extend Enhanced FMAP authorization to

June 30, 2011; and 

WHEREAS, Since Pennsylvania and most other states continue to

face unprecedented budgetary shortfalls, it is essential that

the authorization for Enhanced FMAP be extended; therefore be it

RESOLVED, That the House of Representatives of the

Commonwealth of Pennsylvania strongly and respectfully urge the

Congress of the United States to pass and President Obama to

sign expeditiously legislation that would provide a temporary

extension of the ARRA's Enhanced FMAP in order to help

Pennsylvania and other states that continue to struggle with

declining tax revenues, high levels of unemployment, poverty and

depressed wages; and be it further 

RESOLVED, That the House of Representatives strongly and

respectfully urge the Congress of the United States to extend

the Enhanced FMAP to at least June 30, 2011; and be it further

RESOLVED, That the House of Representatives strongly and

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respectfully urge the Congress of the United States to utilize

existing Federal funding for the Enhanced FMAP; and be it

further

RESOLVED, That the House of Representatives strongly and

respectfully urge the Congress of the United States to

reevaluate the formula for funding the states' Medicaid programs

in order to provide adequate funding; and be it further

RESOLVED, That copies of this resolution be transmitted to

the presiding officers of each house of Congress, to each member

of Congress from Pennsylvania and to Governor Edward G. Rendell.