Money Follows the Person (MFP) is a federal program intended to broaden the use of Medicaid dollars for the care of the elderly and disabled in their own homes.
For those states participating in the Money Follows the Person initiative, the federal government provides increased Medicaid funding, reimbursing them for 75% of the costs of a resident’s first year back in the community, instead of the customary 50%. The enhanced federal support is a financial incentive for states to reduce reliance on expensive institutional care for Medicaid recipients, according to a press release issued by Connecticut Gov. Jodi Rell’s office.