Revised block grant plan may allow state to divert money to health programs beyond TennCare

  • TennCare submitted its Medicaid block grant proposal to the Trump Administration.
  • The plan must still be negotiated with federal officials and approved by state lawmakers.

Tennessee officials changed language in a controversial proposal to transform the state Medicaid program, raising questions about how much latitude the state would have to divert money away from TennCare to health programs in other agencies.

TennCare officials and health policy experts disagreed on the significance of the change, which was revealed Wednesday as a revised Medicaid block grant plan was submitted to the Trump administration. The proposal was also amended in an attempt to ease concerns raised during public comments collected from across the state.

As proposed, the block grant plan would give state officials more authority over how to operate TennCare and allow Tennessee to keep half of any money that is saved through state leadership.

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