Medicaid entitlement for 21 - FY 2026 - T21

The Centers for Medicaid and Chip Services (CMCS) awarded Indiana Family And Social Services Administration (FSSA) a Children's Health Insurance Program (CHIP) block grant totaling $360.2 million, effective October 1, 2025, through September 30, 2027. Under CFDA 93.767, this block grant enables Indiana to maintain and expand health insurance coverage for low-income, uninsured children and, at state option, low-income pregnant women. The funding supports FSSA's administration and delivery of CHIP benefits across Indiana, operating either as a separate state CHIP program, an expansion of Medicaid eligibility, or a combination of both approaches, consistent with Title XXI of the Social Security Act.

FSSA distributes CHIP block grant funding statewide through its designated state agency structure, reaching both urban and rural service areas across Indiana. The program has demonstrated significant impact nationally, with over seven million children currently enrolled in CHIP programs nationwide. As a formula-based, entitlement grant rather than a competitive award, this block grant represents recurring federal funding that Indiana receives to sustain ongoing CHIP operations and enrollment activities for vulnerable pediatric populations.