Mississippi typically pays about 24 cents on the dollar to cover Medicaid costs for our state. The federal government pays the additional 76 cents of each Medicaid dollar. In order to help states through the recession, the federal government has reduced to 16 cents on the dollar the portion that states are required to pay, and the feds have picked up the other 84 cents. Because the federal government is assuming more of the cost, and states are assuming less, this is referred to as the enhanced federal Medicaid match. It is also sometimes referred to as the enhanced Federal Medical Assistance Percentage, or enhanced FMAP.
