Tennessee Gov. Bill Lee touted the state’s newly approved Medicaid program as a victory in his State of the State Address on Monday, while at the same time acknowledging its uncertain future under the new Biden administration.
Lee committed to use the new program funding mechanisms “to do important work like shortening the waiting list for those with intellectual and developmental disabilities who need services.
“Let me be clear: if partisan attacks that call for this block grant to be rescinded prevail, the state will not get these shared savings dollars that we plan to use to improve health care for vulnerable Tennesseans,” Lee said.
In President Donald Trump’s final days, the federal government approved a 10-year renewal of TennCare – the state’s Medicaid program that uses a combination of state and federal funds to provide health insurance coverage to approximately 1.4 million low-income families and children, pregnant women and disabled Tennesseans.
The new program – called TennCare III – exists under a waiver, which allows states to operate outside of traditional Medicaid rules. Although many state Medicaid programs operate under waivers, Tennessee’s new program is a departure from the traditional Medicaid in that it gives the state more flexibility and potential to receive more federal dollars through what Lee calls “shared savings” if TennCare spends less than anticipated.