Urban Indian Health Parity Act

The Urban Indian Health Parity Act would amend the Social Security Act to ensure that Medicaid payments for services furnished through urban Indian organizations (UIOs) are reimbursed at the full federal medical assistance percentage (FMAP), i.e., 100%. Specifically, the bill adds UIOs—defined as urban Indian organizations that operate under an Indian Health Service (IHS) grant or contract under the Indian Health Care Improvement Act (IHCIA)—to the group of providers eligible for the 100% FMAP. In effect, it extend’s the current federal funding generosity (parity) to certain urban Indian health providers, aligning their Medicaid financing with that historically provided to Indian tribes or tribal organizations. The aim is to improve funding parity and support Medicaid-covered services for urban American Indians and Alaska Natives served by UIOs.