S. 704 would establish a demonstration program in the Medicare Advantage (MA) program to test the effectiveness of granting MA plans flexibility to use part of their existing payments to provide for certain long-term care services and supports. The legislation would appropriate $3.5 million for the demonstration program and its evaluation.
CBO estimates that enacting S. 704 would increase direct spending by about $4 million over the 2016-2025 period. Pay-as-you-go procedures apply because the bill would affect direct spending. Enacting the bill would not affect revenues.
S. 704 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would not affect the budgets of state, local, or tribal governments.