The State Flexibility to Stabilize the Market Grant Program

The State Flexibility to Stabilize the Market Cycle I and II Grant Programs will provide a funding source to enhance the role of states in the implementation and planning for several of the Federal market reforms and consumer protections under Part A

This Funding Opportunity Announcement is open to all fifty States and the District of Columbia for planning and/or implementing one or more of the three pre-selected market reforms and consumer protections in Part A of title XXVII of the PHS Act. Only one application per state is permitted, except in a state in which there is more than one regulating entity, each with a primary responsibility over the regulation of a portion of the private health insurance market.

Grants to States' (including the District of Columbia) for planning and/or implementing the market reforms and consumer protections in Part A of title XXVII of the PHS Act.

Applicants should review the CMS funding opportunity announcement documents issued under this CFDA program for any required proof or certifications which must be submitted prior to or simultaneous with submission of an application package.

Applicants may use grant funds for a variety of planning and implementation objectives related to the pre-selected market reforms and consumer protections under Part A of title XXVII of the PHS Act , including but not limited to implementing or enhancing policy form review, hiring or contracting with a clinician to review formularies, developing actuarial and economic analyses, and performing market scans of the respective state's health insurance market to assess the current healthcare and coverage landscape. The Department of Health and Human Services funds for The State Flexibility to Stabilize the Market Cycle I and II Grant Programs may not be used for any of the following: cover the costs to provide direct services to individuals; to match any other Federal funds; provide services, equipment, or supports that are the legal responsibility of another party under Federal or State law (e.g.; vocational rehabilitation or education services) or under any civil rights laws; supplant existing State, local, Tribal, or private funding of infrastructure or services such as staff salaries, etc.; provide goods or services not allocable to the approved budget; be used by local entities to satisfy state matching requirements; pay for construction; pay for capital expenditures for improvements to land, buildings, or equipment which materially increase their value or useful life as a direct cost, except with the prior written approval of the Federal awarding agency; pay for the cost of independent research and development, including their proportionate share of indirect costs (unallowable in accordance with 45 CFR 75.476); or to use as profit to any award recipient even if the award recipient is a commercial organization, (unallowable in accordance with 45 CFR 75.215(b)), except for grants awarded under the Small Business Innovative Research (SBIR) and Small Business Technology Transfer Research (STTR) programs (15 U.S.C. 638). Profit is any amount in excess of allowable direct and indirect costs.

Grant funding for this funding opportunity announcement will be available through Fiscal Year 2020 for Cycle I and through Fiscal Year 2023 for Cycle II. See the following for information on how assistance is awarded/released: Awards will be created and released by GrantSolutions. Grantees drawdown funds, as necessary, from the Payment Management System (PMS). PMS is the centralized web based payment system for HHS awards. Duration of the Cycle I grant program: August 20, 2018 - August 19, 2020. Duration of the Cycle II grant program: September 15, 2021 - September 14, 2023

Grant applications and required forms for this program can be obtained from Grants.gov. CMS requires all applicants to apply electronically through Grants.gov.

Approval of an application will be based on an analysis of the factors set forth in Section V--Application Review in the Funding Opportunity Announcement.

All qualified applications will be forwarded to an objective review committee. Based on the advice of the objective review committee, the CMS program official with delegated authority is responsible for final selection and funding decisions. Notification is made in writing by a Notice of Grant Award.

For the State Flexibility to Stabilize the Market Cycle I Grant Program a Letter of Intent was mandatory and were required to be submitted by 5:00 pm Eastern Daylight Time on February 26, 2018. All State Flexibility to Stabilize the Market Cycle I grant applications were required to be submitted electronically and be received through http://www.grants.gov by 3:00 pm Eastern Daylight Time on April 5, 2018. For the State Flexibility to Stabilize the Market Cycle II Grant Program a Letter of Intent is mandatory and must be submitted by 5:00 pm Eastern Daylight Time on December 11, 2020. All grant applications must be submitted electronically and be received through http://www.grants.gov by 3:00 pm Eastern Daylight Time on February 3, 2021.

Section 1003 of the ACA provides for funding to be awarded between Fiscal Year 2010 and Fiscal Year 2014. Section 2794(c)(2)(B) of the Public Health Service Act specifies that if there are any appropriated Rate Review Grant funds that are not fully obligated by the end of Fiscal Year 2014, such amounts shall remain available to the Secretary for grants to states for planning and implementing the insurance market reforms and consumer protections under Part A of title XXVII of the PHS Act. Refer to the Funding Opportunity Announcement for additional information on subsequent grants authorized and awarded under Section 1003 of ACA.