Medicaid Monitor
Policy Intelligence
Medicaid Monitor
Policy Intelligence
Updated 12:31 PM MT
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Federal Policy·August 11, 2026

Federal Policy Restricts Use of Funds for Fentanyl Test Strips

Federal officials have implemented a policy limiting how funds can be used to purchase fentanyl test strips, a harm reduction tool credited with preventing overdose deaths. The restriction affects organizations providing overdose prevention services, including those responding to mass overdose events. Harm reduction advocates report the policy will make distributing test strips more difficult. Federal officials justify the restriction by asserting the strips enable drug use.

Why it matters

The policy directly affects Medicaid health plans and state agencies operating or funding substance use disorder programs, 1115 waiver initiatives targeting opioid use disorder, and community-based harm reduction services often reimbursed through Medicaid managed care arrangements.

Behavioral Health

Read the full article at kffhealthnews.org

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