Basic Health Program; Federal Funding Methodology for Program Year 2025
This Informational Bulletin specifies the final values for the factors needed to calculate the
Federal BHP payment rates for 2025, using the methodology published in the 2023 BHP Final
Rule. In addition, this guidance reminds states operating a BHP for 2025 of the need to make two
decisions: (1) whether or not to develop a retrospective population health factor (PHF)
adjustment methodology; and (2) whether to use the 2024 or 2025 qualified health plan (QHP)
premiums as the basis for calculating the 2025 BHP Federal payments.
Issued by: Centers for Medicare & Medicaid Services (CMS)
Issue Date: August 21, 2024
DISCLAIMER: The contents of this database lack the force and effect of law, except as authorized by law (including Medicare Advantage Rate Announcements and Advance Notices) or as specifically incorporated into a contract. The Department may not cite, use, or rely on any guidance that is not posted on the guidance repository, except to establish historical facts.