Federal Block Grant Award Summary

The Centers for Medicare and Medicaid Services (CMS) awarded South Dakota Department of Social Services $938.3 million through the Grants to States for Medicaid program (CFDA 93.778) for fiscal year 2026, effective October 1, 2025, through September 30, 2026. This block grant provides financial assistance to the state for medical assistance payments on behalf of low-income and categorically eligible populations, including cash assistance recipients, children, pregnant women, elderly individuals, and other qualifying groups who meet specific income and resource requirements. The funding enables the state to cover medical services for eligible beneficiaries through participating healthcare providers within South Dakota's Medicaid program.

Under this entitlement award, the South Dakota Department of Social Services delivers comprehensive medical assistance coverage and related healthcare services to vulnerable populations throughout the state. The department utilizes quarterly funding allocations to pay for medical care, including coverage of Medicare premiums, copayments, and deductibles for qualified beneficiaries. As the primary state administrator, the department operates under an HHS-approved Medicaid State Plan and maintains compliance with all federal regulations governing medical assistance to needy individuals, ensuring continuous eligibility and access to care for qualifying recipients.