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Decision Package
Department of Medical Assistance Services (602)
Request Title Adjust Health Care Fund appropriation
Biennium 2020-2022
Budget Round Caboose Bill
Category Mandates
Region None
Description

Modifies the appropriation for the Virginia Health Care Fund to reflect the latest revenue estimates. Revenue from the Master Settlement Agreement (MSA) is expected to remain unchanged in FY 2022. Tobacco taxes are projected to increase by $0.8 million in 2022 based on the Department of Taxation's revised forecast which assumes that a decline in cigarette taxes will be offset by other tobacco products revenue. FY 2022 pharmacy rebate estimates are not being adjusted; however, Medicaid recoveries are expected to increase by $39.5 million due to one time deposits. The largest driver of current year revenue growth is a $92.5 million prior year balance in the fund. This revenue was largely attributable to larger than expected MSA payments in FY 2021 and a return of $54.8 million associated with the managed care profit cap. Since the fund is used as state match for Medicaid, any change in revenue to the fund impacts general fund support for Medicaid.

Funding Summary
Object Type FY 2020 FY 2021  
General Fund Dollars $0 ($132,758,827)  
Nongeneral Fund Dollars $0 $132,758,827  
General Fund Positions 0.00 0.00  
Nongeneral Positions 0.00 0.00  
General Fund Transfers $0 $0  
General Fund Revenue $0 $0  
Layoffs $0 $0  
Additions to Balance $0 $0  
Funding Details
By Program Program Code Program Title FY 2020 FY 2021
  456 Medicaid Program Services $0 $0
By Fund Fund Code Fund Title FY 2020 FY 2021
  01000 General Fund $0 ($132,758,827)
  09490 Virginia Health Care Fund $0 $132,758,827
Authorized Position Details
By Program Program Code Program Title FY 2020 FY 2021


p3_opview - Official Enacted Budget View Operating Bullet Details - 06-07-2025 21:58:06