Six months into the 2021-23 State Budget, the Department of Health Services is projecting the Medicaid fund to finish the biennium with a surplus of $184.9 million in general purpose revenue, which is an increase from September’s projection of a $39.4 million surplus.

In a letter to the Joint Finance co-chairs this week, DHS Secretary Karen Timberlake attributed the projected surplus to several factors. The most significant was the federal government extending the COVID-19 public health emergency declaration.

That action extends until March an enhanced federal matching rate for Medicaid expenditures.