To amend title XIX of the Social Security Act to provide a temporary higher Federal medical assistance percentage for Federal expenditures under the Medicaid program that are associated with the cost of compliance with certain Federal regulations with respect to services furnished in certain intermediate care facilities or home and community-based services furnished to individuals with intellectual and developmental disabilities.
About This Bill
Committee
Latest Action · July 23, 2026
Referred to the House Committee on Energy and Commerce.
The Disability Community Act of 2026 increases federal funding for Medicaid programs that serve people with intellectual and developmental disabilities in intermediate care facilities and home and community-based settings. For the years 2027 through 2029, the bill raises the federal government's share of costs related to compliance with specific federal labor and healthcare regulations from the standard rate to 90 percent, temporarily easing the financial burden on states. The legislation also modernizes outdated terminology throughout Medicaid law by replacing "mentally retarded" with "intellectual or developmental disabilities" throughout the Social Security Act. The bill affects states, facilities, and disability service providers who will receive enhanced federal reimbursement for covered compliance costs during the three-year period. This funding boost is intended to help states and providers meet federal regulatory requirements for disability services without proportionally increasing state budgets.
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