HMP Global December 9, 2025
How the Working Families Tax Cut (WFTC) Legislation Is Reshaping Eligibility, Financing & Community Participation Across States
Key Takeaways
- Centers for Medicare & Medicaid Services (CMS) outlines how states must implement new community engagement requirements for able-bodied, working-age adults.
- The reforms aim to reduce improper enrollment and strengthen Medicaid and CHIP sustainability. The guidance emphasizes state flexibility, program alignment, and auditable accountability.
- Additional eligibility and financing reforms reinforce program integrity and support rural hospitals.
- More CMS guidance and rulemaking will follow.
Why CMS Issued This New Guidance
Federal leaders underscore that the new community engagement rules aim to reinforce the connection between health, work, and long-term well-being.
“Breakthrough Medicaid community engagement tools restore the dignity of work...
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