Home and Community-Based Services (HCBS) Relief Act of 2025

Proposal Overview

Name: Home and Community-Based Services (HCBS) Relief Act of 2025 

Congress: 119th

Year: 2025

Sponsor:

Senator Ben Ray Luján (D-NM) 

Co-Sponsors:

17 Democratic cosponsors

Program Details

Overview: This bill temporarily increases the Federal Medical Assistance Percentage (FMAP) by 10 percentage points for Home and Community-Based Services (HCBS) provided during fiscal years 2026 and 2027.

This bill includes a number of provisions related to HCBS, but this analysis focuses on provisions related only to family caregivers. 

This bill allows for a 10% increase to the FMAP for eligible states.

States apply for the FMAP increase and outline how they will use the funds to improve the delivery of home and community-based care, and the expansion of supports for family caregivers.  

New funds must supplement and not replace existing state spending.   

States can use the additional federal funding to support family caregivers with supplies, equipment, and other services such as direct payments to family caregivers and respite care.

Financing & Implementation

Program Administration

Centers for Medicare and Medicaid Services and state Medicaid programs 

Not specified 

Not specified

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