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July 26, 2006
CMS Money Follows the Person Grant The Centers for Medicare & Medicaid Services (CMS) is soliciting
proposals from states to participate in the Money Follows the Person
Rebalancing Demonstration (MFP Demo). This demonstration, created by
section 6071 of the Deficit Reduction Act of 2005 (P.L.
109-171), supports State efforts to "rebalance" their long-term
support systems by offering $1.75 billion
over five years in competitive grants to states. Specifically, the
demonstration will support state efforts to:
- Rebalance their long-term support system so that individuals have a
choice of where they live and receive services
- Transition individuals from institutions who want to live in the
community
- Promote a strategic approach to implement a system that provides
person centered, appropriate, needs based, quality of care and
quality of life services and a quality management strategy that
ensures the provision of, and improvement of such services in both
home and community-based settings and institutions
Demonstration grants will be awarded to
states from January 1, 2007
through September 30, 2011. The demonstration provides for enhanced
federal medical assistance percentage for 12 months for
qualified home and community-based services for each person
transitioned from an institution to the community during the
demonstration period.

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