Medicaid entitlement for 56 - FY 2026 - T19

The Department of Health and Human Services Centers for Medicare and Medicaid Services awarded $22.421 billion to the Virginia Department of Medical Assistance Services on October 1, 2025, under the Grants to States for Medicaid program (CFDA 93.778), a block grant providing financial assistance to states for medical assistance payments to low-income individuals including cash assistance recipients, children, pregnant women, the aged, and other categorically-eligible groups who meet income and resource requirements.

The award funds Virginia's Medicaid and Children's Health Insurance Program (CHIP, known locally as FAMIS) administration and medical assistance delivery statewide through September 30, 2026. DMAS, as Virginia's single state agency responsible for Medicaid and CHIP, manages healthcare coverage and access for the state's most vulnerable populations, including low-income children, pregnant women, elderly individuals, and persons with disabilities. The program also provides financial assistance for Medicare premiums, copayments, and deductibles for qualified Medicare beneficiaries meeting certain income thresholds.

Individuals apply for medical assistance through the state at any time and receive coverage as long as they remain qualified under Virginia's eligibility requirements. States must maintain records substantiating direct and indirect costs and operate under an HHS-approved Medicaid State Plan in compliance with all federal regulations. Awards under this program are made quarterly on October 1, January 1, April 1, and July 1 based on state estimates of funds needed.