ccording to a new Government Accountability Office report  the economic stimulus package Congress would boost each state’s federal medical assistance percentage  by 7.6% from the first quarter of fiscal year 2009 through the end of the first quarter of fiscal year 2011.

The Medicaid funding would total nearly $87 billion over the period, the report said. State allocations would range from less than $100 million to more than $12 billion.Besides raising each state’s FMAP, the bill would provide additional FMAP assistance based on increased unemployment. It would create three tiers based on state unemployment rates, each of which would correspond to an additional FMAP increase.

To see the report, go to http://www.gao.gov

Many consumers are ill-informed about Medicare and Medicaid’s role in long-term care, and greater planning could help reduce the danger of soaring Medicaid costs, according to a new report from America’s Health Insurance Plans.

Over the next 20 years, federal and state governments are expected to spend $3.7 trillion on long-term care expenses, the report said. Between 2008 and 2027, annual Medicaid long-term care expenditures are projected to grow by 124% from $51.5 billion to $115.6 billion. AHIP represents most of the nation’s commercial insurers. Researchers at Strategic Affairs Forecasting and Paul A. London Associates conducted the report.

Too many people believe that Medicare will help pay for long-term care expenses, when actually it will provide only a limited amount of rehabilitative care, according to report authors. Up to two-thirds underestimate their potential need for long-term care, they note.