WRAP Supplemental Payment Program

Federal Medicaid regulations allow State Medicaid Agencies to pay Federally Qualified Health Centers (FQHC) and Rural Health Clinics (RHC) providing services under a contract with a Medicaid Managed Care Entity (MCE) supplemental payments for furnishing such services. These payments are a calculation of the difference between the payments the FQHC/RHC receives from the MCE(s) for all qualified Medicaid visits and the payments the FQHC/RHC would have received for fee-for-service (FFS) Medicaid recipients receiving the same services. This concept is referred to as the WRAP Supplemental Payment Program. The formula for calculating and distributing these payments is authorized pursuant to the Medicaid State Plan Attachment 4.19 B, Pages 1 – 4.