H.R. 1195 — Protect Medicaid Act

This section establishes the short title of the Act as the “Protect Medicaid Act.”

This section prohibits Federal Medicaid matching payments for the administrative costs of a State program that provides health benefits to noncitizens who are not lawfully admitted permanent residents and are ineligible for medical assistance under title XIX because they do not have a satisfactory immigration status under section 1137(d)(1)(B)(iii). (Thus, States could not receive Federal Medicaid funds for administering such health-benefit programs, but could still receive payment for costs attributable to establishing or operating a system to enforce this prohibition.)

This section directs the Inspector General of the Department of Health and Human Services to submit to Congress, not later than 180 days after enactment, a report on States that provide health benefits to noncitizens who are not lawfully admitted permanent residents and are ineligible for Medicaid under title XIX of the Social Security Act (42 U.S.C. 1396 et seq.). The report must describe: (1) how such States separate administrative costs for their Medicaid programs from administrative costs for providing health benefits to these noncitizens; (2) the procedures, protocols, or systems used to ensure compliance with prohibitions on Federal funding for those benefits and how effective those measures are; (3) how States finance such programs, including the increased use of provider taxes and intergovernmental transfers to finance the non-Federal share of Medicaid expenditures for medical assistance provided to individuals who are not so ineligible; and (4) the extent to which such noncitizens receive covered outpatient drugs purchased under the Medicaid Drug Rebate Program under section 1927 of the Social Security Act (42 U.S.C. 1396r–8) or the 340B Drug Pricing Program under section 340B of the Public Health Service Act (42 U.S.C. 256b), and the effect of that use on the average manufacturer price of those drugs under 42 U.S.C. 1396r–8(k)(1).