CMS proposes rule extending federal subsidies to support Medicaid information systems

A new proposed rule from CMS would provide Medicaid eligibility and enrollment systems with federal funding to help maintain the systems.

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The rule would recognize Medicaid and CHIP eligibility and enrollment systems as an integral part of Medicaid mechanized claims processing and information retrieval systems and eliminate time limits on federal financing participation for qualifying systems.

Under the proposed legislation, the federal government would provide funds at a 90 percent matching rate for design and development activities related to the information systems and at a 75 percent federal matching rate for maintenance and operations activities of the systems.

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