The Catholic Hospital Association (CHA) joined dozens of other health care organizations in sending a joint letter to the United States Senate and House of Representatives, requesting improved federal medical assistance percentage (FMAP) for the Medicaid program in future COVID-relief legislation. 

The letter stated that while the quick action by Congress and the president’s administration is especially helpful, more assistance is needed for the Families First Coronavirus Response Act as COVID-19 continues. 

“We urge Congress to provide an additional FMAP increase of at least 5.8 percentage points, be retroactive to Jan. 1, 2020, and remain until Sept. 30, 2021, regardless of unemployment conditions,” the letter stated. “After Sept. 30, 2021, the 12% FMAP increase should not be reduced until the national unemployment rate falls below 5%.”

Joint letter to the U.S. Senate and the House of Representatives

The letter states that health care and economic recovery are inseparable during this pandemic, calling attention to the fact that over 40 million Americans have filed for unemployment benefits over the last two and a half months, according to the U.S. Bureau of Labor Statistics. 

“The Government Accountability Office (GAO) reported that during the Great Recession, the unemployment rate grew from 5 to 9.5 percent, while Medicaid enrollment rose by 9.7 percent — adding nearly 4.3 million enrollees to the program,” the letter noted, likening the Great Depression to the recession experienced during the coronavirus pandemic. “There is ample precedent for Congress acting during economic downturns to temporarily increase the FMAP, including increasing the FMAP by nearly 12 percentage points a decade ago.”

In addition to the requests made regarding FMAP, the letter requested that the Medicaid Fiscal Accountability Rule be repealed. 

“We believe this rule would reduce the ability of states and localities to finance the non-federal share of Medicaid, resulting in a reduction in federal Medicaid funding for the public health and hospital systems and destabilizing them at a time when health care and public health services are needed most,” the letter stated.