LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
FISCAL IMPACT STATEMENT
LS 6077 NOTE PREPARED: Oct 28, 2024
BILL NUMBER: HB 1470 BILL AMENDED:
SUBJECT: Medicaid Coverage for Incarcerated Individuals.
FIRST AUTHOR: Rep. Porter BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
XFEDERAL
Summary of Legislation: The bill requires the Office of the Secretary of Family and Social Services to, not
later than October 1, 2025, apply for approval of a Section 1115 Medicaid demonstration waiver to provide
prerelease services to certain incarcerated individuals beginning 90 days before the individual is released.
Effective Date: July 1, 2025.
Explanation of State Expenditures: Depending on the design of the demonstration waiver, Department of
Correction spending for some health care services and/or release transition services for Medicaid-eligible,
soon-to-be released inmates could be supplanted with federal funds. However, the state will not have overall
cost savings as the demonstration waiver guidance indicates that any savings must be reinvested to increase
access or to improve the quality of health care for incarcerated individuals.
The bill’s requirements for the Family and Social Services Administration to apply for a Section 1115
demonstration waiver are within the agency’s routine administrative functions and should be able to be
implemented with no additional appropriations, assuming near customary agency staffing and resource levels.
Explanation of State Revenues:
Explanation of Local Expenditures: [See Explanation of State Expenditures for local jails.]
Explanation of Local Revenues:
State Agencies Affected: Office of Medicaid Policy and Planning, Family and Social Services
Administration; Department of Correction.
Local Agencies Affected: County jails.
Information Sources: https://www.medicaid.gov/federal-policy-guidance/downloads/smd23003.pdf.
HB 1470 1 Fiscal Analyst: Karen Rossen, 317-234-2106.
HB 1470 2