Governor Ned Lamont on Monday announced that he had signed a declaration enabling the Connecticut General Assembly to adopt legislation appropriating the funding necessary to keep Medicaid fully funded for the remainder of the 2025 fiscal year.
The Connecticut Department of Social Services (DSS) is responsible for administering Medicaid in Connecticut. The department estimates that it will need an additional $284 million to ensure that payments continue to be made to health care providers under this program.
More than 900,000 Connecticut residents receive health coverage through Medicaid, including children, older adults, individuals with disabilities, and low-income families.
“Our most vulnerable residents, including seniors and those with disabilities, receive health coverage through Medicaid and it is important that we authorize the funding necessary to ensure these payments continue to be made and people can access the care they need,” Governor Lamont said. “Connecticut is not alone on this issue as many states are confronting funding issues with Medicaid that are being driven by several intersecting factors. I am hopeful that a unanimous, bipartisan majority of legislators in the General Assembly will agree that we have an obligation to support Medicaid and the people who depend on it for care.”
This is the first time a declaration of this kind has been issued since 2007, when Governor M. Jodi Rell signed a similar declaration.
Increases in costs are being driven by several factors, including changes in the enrollment mix, rising home health and pharmacy costs, and overall increased utilization of services across the program.
To contain costs, Governor Lamont has proposed repealing the GLP-1s for weight loss only starting in June, as well as changing Connecticut’s home-based services program to a waiver, which will limit enrollment. DSS plans to provide stronger oversight of pharmacies to ensure patients receive the medication they need, without waste.
Governor Lamont’s declaration clarifies that this additional expenditure shall not be considered general budget expenditures for the 2025 fiscal year for the purposes of determining general budget expenditures for 2026 fiscal year.
**Download: Declaration of the Existence of Extraordinary Circumstances