Dive Brief:
- CMS has launched an online resource to help states update outdated IT systems.
- This will enable private sector companies to identify opportunities to invest in Medicaid investments since it will have all Medicaid procurement sites and open state Medicaid IT proposals in one location.
- The online resource supports the Medicaid funding in the CMS 90/10 final rule passed in December 2015 with the organization matching 90% of federal funds. The goal is to ensure Medicaid coverage works as well or better than other insurance programs.
Dive Insight:
States are required to update Medicaid legacy IT systems into those with industry-proven standards. CMS is moving financial incentives away from custom development to expedite states' IT timelines, reduce costs, and increase the use of advanced IT. More than 30 states are redesigning IT systems, according to Healthcare IT News, and Andy Slavitt, CMS' acting administrator said 2016 will be the most active year for Medicaid so far and states need support to transition into modern IT.
By 2018, more than 13.5 million additional people will have joined Medicaid or CHIP, bringing the total number of those covered by Medicaid close to 72 million. CMS invests more than $5 billion in Medicaid IT to modernize state programs and systems every year, according to Healthcare IT News.