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Medicaid Monitor
Wednesday, October 28, 2026 · Updated 1:04 PM MT · 26 stories today
Daily Briefing · 26 stories todayPRO

The top five

As sent in that morning's briefing

  1. Why it mattersHospitals and community clinics face mounting uncompensated care costs and potential service cuts as federal Medicaid funding reductions phase in through the next decade, with rural safety-net providers facing the steepest financial exposure.

  2. Why it mattersState Medicaid agencies must rapidly build verification and exemption infrastructure or risk mass coverage losses among eligible enrollees, with direct fiscal and enrollment consequences for managed care plans operating in expansion states.

  3. Why it mattersThe rate increase directly affects the financial viability of Oregon's coordinated care organizations and their ability to maintain provider networks for 1.4 million Medicaid Health Plan members.

  4. Why it mattersState Medicaid agencies and hospitals face compounding financial pressure as federal provider tax restrictions and coverage losses collide with existing state budget constraints, forcing difficult legislative tradeoffs in 2027.

  5. Why it mattersLow Medicaid reimbursement and threatened stabilization payments put rural and pediatric primary care practices serving Medicaid-enrolled children at financial risk of closing or cutting services.

The complete record · 53

The complete record

53 stories, Wednesday, October 21, 2026

Federal Policy

12 storiesFederal Policy section →

CMS Withholds Additional $1.2B in Medicaid Funds From California

CMS Administrator Mehmet Oz announced on Oct. 20 that the federal government is deferring another $1.2 billion in Medicaid payments to California, citing rapid growth in the state's personal care services spending under its In-Home Supportive Services program. Oz said the program grew 24% over three years, twice the national average, and California was notified the same day. The deferral delays rather than cancels funds until the state documents that claims meet federal requirements. This follows a $1.3 billion deferral in May over broader fraud concerns and a September OIG report finding California failed to report and return $113.3 million in identified Medicaid overpayments, including a $47.8 million federal share.

Why it mattersCalifornia's Medicaid agency and its county-run IHSS program face mounting federal pressure to document billing compliance or risk losing access to over $2.5 billion in deferred federal funds this year.

CABecker's12:04 PM MT
LTSS · Finance

KFF Fact Sheet Reviews Reconciliation Law's Medicaid Changes Ahead of Midterms

KFF has published a fact sheet summarizing Medicaid eligibility and financing changes stemming from the 2025 reconciliation law, including new work requirements expected to affect millions of enrollees. The fact sheet reviews what provisions have already taken effect, what changes are still forthcoming, and recent public opinion polling on Medicaid as the midterm elections approach. It is intended as a reference overview rather than a report of a single new policy action. The piece compiles existing information to help readers track the law's phased rollout and its political salience.

Why it mattersState Medicaid agencies and health plans need a consolidated view of which reconciliation-law provisions, especially work requirements, are already in force versus still pending so they can sequence eligibility system and enrollee communication changes accordingly.

USKFF Research12:05 PM MT
Managed Care · Finance

Authors Argue Medicaid Work Requirements Harm Behavioral Health Patients

In an opinion piece published by Medicaid Health Plans of America, authors Craig A. Kennedy and Debbie Witchey argue that nationwide mandatory work requirements being considered in Congress's budget reconciliation package will cause significant coverage loss among Medicaid beneficiaries with mental health conditions and substance use disorders. They cite Kaiser Family Foundation data showing nearly two-thirds of non-elderly Medicaid adults already work full or part time, contesting the premise that work requirements primarily target fraud, waste, and abuse. The authors contend that despite House leadership's assurances that no "deserving" beneficiary will lose eligible coverage, the current policy design will strip coverage from vulnerable populations the legislation claims to protect.

Why it mattersState Medicaid agencies and behavioral health plans should anticipate enrollment and administrative burden impacts if federal work requirement provisions advance, particularly for enrollees with behavioral health conditions who may struggle to document exemptions.

USmedicaidplans.org12:05 PM MT
Behavioral Health

Advocates Warn Census Bureau Plan to Exclude Noncitizens Is Unconstitutional

The Census Bureau last month proposed counting only citizens and lawful permanent residents in the 2030 census and eliminating questions on race, ethnicity, and sexual orientation. Advocates, local officials, and civil rights groups argue the plan violates the 14th Amendment, which they say requires counting "the whole number of persons," not just citizens, and warn it would undercount immigrant communities and distort resource allocation. Public comments are due November 2, and opponents say they expect the plan, if finalized, to face legal challenges similar to the one that blocked a citizenship question from the 2020 census. Local leaders like Tempe Councilwoman Doreen Garlid and advocacy groups such as North Carolina Counts and the New York Immigration Coalition are urging officials to formally oppose the proposal before the deadline.

Why it mattersCensus-derived population and demographic data directly shapes federal Medicaid funding formulas and state allocation decisions, so undercounting immigrant and minority populations could reduce resources for health programs serving those communities for a decade.

USazmirror.com6:05 AM MT
Finance · Maternal

HHS Launches National Kidney Care Plan to Cut Costs

The Trump administration launched the Kidney Care National Plan on Tuesday, an HHS initiative aimed at addressing structural deficiencies in kidney disease care that the department says drive up costs and lower quality of care. The plan targets the broader health care system's handling of chronic kidney disease and end-stage renal disease, populations that include a significant share of Medicaid and Medicare beneficiaries. Details on specific mechanisms, funding, or implementation timelines were not fully outlined in the initial announcement. HHS frames the effort as a response to longstanding gaps in prevention, early detection, and treatment coordination for kidney disease patients.

Why it mattersState Medicaid agencies and managed care plans covering high-cost dialysis and kidney disease populations will need to watch for forthcoming federal guidance that could reshape care coordination and payment expectations.

USThe Hill6:07 AM MT
Finance

Senior Addiction Treatment Bill Faces Long Odds in Congress

Behavioral Health Business reports that the reintroduced "Residential Recovery for Seniors Act" would allow Medicare Part A to cover non-hospital residential addiction treatment for beneficiaries 65 and older, a benefit Medicare has excluded throughout its history even as Medicaid recipients have gained broader access. Roughly 1 in 15 adults over 65 had a substance use disorder in the past year, and seniors accounted for 8,195 overdose deaths in 2024, yet fewer than one in five Medicare enrollees with opioid use disorder receive medication treatment. ASAM president Dr. Stephen Taylor and behavioral health providers interviewed say the bill has bipartisan support but faces an uphill fight due to inertia around changing Medicare and limited advocacy momentum. Providers warn that without the fix, seniors will continue cycling through costly hospitalizations or inadequate lower-tier care.

Why it mattersProviders serving dual-eligible and Medicare populations face continued reimbursement gaps for residential SUD treatment, pushing high-cost, high-acuity senior patients toward emergency and inpatient hospital settings instead.

USbhbusiness.com6:08 AM MT
Behavioral Health · LTSS

HHS Expands Sickle Cell Care Network to Seven Regional Hubs

HHS has expanded its sickle cell disease regional care network from five to seven regions through a new program run by the Health Resources and Services Administration. The Sickle Cell Disease Regional Care Excellence Program funds seven regional coordinating hubs intended to connect patients with specialty care and community services closer to home. Each hub will partner with at least three spokes, pairing a clinical center with community-based organizations. HRSA also plans to contract with an organization to provide national training, technical assistance and coordination for community health workers, community-based groups and health centers.

Why it mattersState Medicaid agencies and health plans covering sickle cell populations gain new federally funded care coordination infrastructure that could reduce specialty care gaps and emergency utilization among beneficiaries with the disease.

USBecker's6:08 AM MT
LTSS

Employers Endorse Extending E-Prior Authorization to Self-Funded Plans

CMS announced that a group of large employers has voiced support for expanding electronic prior authorization requirements to self-funded health plans, which are not currently covered under CMS's prior authorization reform initiatives. The move signals employer interest in aligning self-funded plan practices with the electronic prior authorization standards CMS has pushed for Medicare Advantage, Medicaid managed care, and ACA marketplace plans. No new rule or mandate accompanies this announcement; it reflects stakeholder support that could inform future federal action. Medicaid managed care plans already subject to related CMS interoperability and prior authorization rules may see this as momentum toward broader industry-wide standardization.

Why it mattersMedicaid managed care plans implementing electronic prior authorization under existing CMS interoperability rules should watch whether employer support accelerates uniform standards that could reshape vendor and data-exchange requirements across all payer types.

USCMS12:06 PM MT
Managed Care

CDC to End HIV Prevention Grants for Community Organizations

Reports indicate CDC is ending its funding stream for community-based organizations that deliver HIV prevention services. An analysis of the prior grant cycle maps where and at what levels these grants were distributed, finding that community organizations, particularly those in southern states, stand to lose substantial funding. The loss would affect organizations providing testing, outreach, and prevention services to populations at elevated HIV risk. No replacement funding mechanism is described in the source material.

Why it mattersCommunity organizations and state health departments that rely on these grants for HIV testing and prevention infrastructure face funding cliffs that could reduce service capacity, particularly in southern states with high HIV incidence.

USKFF Research12:06 PM MT
Behavioral Health

CMS Publishes Qualifying Payment Amount Audits for CareSource, Ohio SERS

CMS published two qualifying payment amount (QPA) audits on Oct. 20, covering CareSource in Indiana and the School Employees Retirement System in Ohio. The CareSource audit reviewed nearly 25,000 claims, primarily emergency and non-emergency services, while the School Employees Retirement System audit examined six air ambulance claims. Both audits covered claims from Jan. 1, 2022 through May 31, 2023, and both entities must now complete corrective actions in response to the findings.

Why it mattersPayers found out of compliance with QPA calculation requirements face mandated corrective action and increased scrutiny, signaling CMS's continued audit activity under the No Surprises Act framework that affects health plan claims-pricing methodology.

USaha.org6:09 AM MT
Finance · Managed Care

CMS Proposes Rule Implementing Three CAA 2026 Medicare Provisions

In a client alert, McDermott Will & Schulte reports that CMS released a proposed rule on October 16, 2026 to implement three sections of the Consolidated Appropriations Act of 2026 related to Medicare. The rule targets Medicare program requirements, though the specific provisions and their operational details were not detailed in the source excerpt. Affected stakeholders would include Medicare providers, plans, and CMS program administrators; a comment period is typically expected to follow a proposed rule of this kind. The firm's alert signals that further implementation guidance and compliance obligations may follow once the rule is finalized.

Why it mattersMedicare providers and plans should track the rule's comment period and final provisions, since Medicare policy changes often set precedent or interact with parallel Medicaid managed care and dual-eligible program requirements.

USjdsupra.com6:09 AM MT
Finance

CMS, VA Launch Data Match to Catch Duplicate Medical Payments

CMS and the VA's Veterans Health Administration have established a computer matching program under the Privacy Act to identify individuals enrolled in both Medicare and VHA health care. VHA will periodically send CMS a finder file listing enrolled veterans, which CMS will use to cross-check against Medicare claims and spot instances where both agencies paid for the same services. The agencies intend to use matching results to recover duplicate payments, improve payment accuracy, and flag potential fraud, waste, and abuse. The notice takes effect under standard Privacy Act procedures announced October 21, 2026.

Why it mattersThe data match gives CMS a new tool to claw back duplicate payments and flag fraud, which could affect providers and plans billing for services to dually-enrolled veterans.

USFederal Register6:09 AM MT
Finance

Managed Care

1 storyManaged Care section →

Issue Brief Examines State Directed Payments for Nursing Home Services

An issue brief provides a closer look at state directed payments (SDPs) specifically used for nursing home services, building on earlier analysis of SDPs across Medicaid managed care. The brief examines how states structure these payments to boost reimbursement for nursing facilities within managed care arrangements. It is positioned as a continuation of prior research rather than a report on new policy action. The content focuses on explaining mechanics and trends rather than announcing a new rule or deadline.

Why it mattersState Medicaid agencies and managed care plans rely on directed payment arrangements to set nursing facility reimbursement, making clarity on their structure and compliance expectations critical for rate-setting and budget planning.

USKFF Research12:04 PM MT
LTSS · Managed Care · Finance

State Policy

18 storiesState Policy section →

Oregon Raises 2027 Capitation Rates for Coordinated Care Organizations 6.1%

The Oregon Health Authority announced new 2027 fixed monthly payment rates for the state's 15 coordinated care organizations, raising average per-member payments by nearly $630 monthly, a 6.1% increase over 2026. The agency expects federal approval by the end of 2026. Officials say the increase is meant to stabilize coordinated care organizations' finances amid coverage losses from federal policy changes and rising costs, though the increase is smaller than last year's 10.2% bump. The announcement follows Providence Health Assurance's exit from the Oregon market, citing an unsustainable financial environment, and a September state audit that found up to $4.1 million in erroneous duplicate payments under the fixed-payment program.

Why it mattersThe rate increase directly affects the financial viability of Oregon's coordinated care organizations and their ability to maintain provider networks for 1.4 million Medicaid Health Plan members.

Managed Care · Finance

Washington Hospitals Project $6 Billion Medicaid Revenue Loss by 2033

A new report from Washington's state hospital and community health associations projects hospitals will lose nearly $6 billion in revenue through 2033 due to federal Medicaid funding cuts enacted last year. Sen. Maria Cantwell and healthcare leaders highlighted the findings at an Oct. 20 Seattle news conference, warning of rising ER wait times, higher premiums, staff cuts and clinic closures. Rural areas, including Washington's 6th Congressional District, are projected to be hit hardest, with Jefferson Healthcare in Port Townsend bracing for over $1 million in new uncompensated care. Roughly 200,000 Washingtonians are expected to lose Medicaid coverage by the end of next year, with new work requirements taking effect January 1 and about 10,000 immigrants already losing coverage October 1.

Why it mattersHospitals and community clinics face mounting uncompensated care costs and potential service cuts as federal Medicaid funding reductions phase in through the next decade, with rural safety-net providers facing the steepest financial exposure.

Finance · Managed Care

Ohio Proposes New Rules on Medicaid Provider Suspensions

In a client alert, Shumaker, Loop & Kendrick reports that the Ohio Department of Medicaid has proposed two new administrative rules addressing provider suspensions. OAC 5160-1-17.5 would replace the existing rule governing suspension of Medicaid provider agreements, while OAC 5160-1-17.51 would replace an emergency rule ODM adopted on June 2, 2026, governing suspension of claims payments. The proposals come as CMS intensifies federal scrutiny of Medicaid fraud, waste, and abuse. The rules affect Ohio Medicaid-enrolled providers who could face agreement or payment suspensions under the revised standards.

Why it mattersOhio providers face revised procedural standards and potential faster action on agreement or payment suspensions, making compliance review of the proposed rules essential before they take effect.

OHjdsupra.com12:04 PM MT
Finance

Minnesota Hospitals Warn Federal Medicaid Cuts Will Deepen Crisis

The Minnesota Hospital Association released a report Tuesday, "A Statewide Crisis of Care," warning that federal Medicaid provisions in the One Big Beautiful Bill Act will worsen already strained hospital finances. Minnesota hospitals saw record emergency department volume in 2024, with more than a quarter losing money on operations that year. The state's Department of Human Services estimates OBBBA provider tax reductions could cost hospitals $1 billion annually, and the law is projected to cut Minnesota's Medicaid rolls by 140,000 people due to new work requirements, raising uncompensated care costs. Hospital executives previewed a contentious 2027 legislative budget fight and called for protecting the 340B drug discount program, while blaming insurers and pharmaceutical companies for rising costs.

Why it mattersState Medicaid agencies and hospitals face compounding financial pressure as federal provider tax restrictions and coverage losses collide with existing state budget constraints, forcing difficult legislative tradeoffs in 2027.

MNminnesotareformer.com6:04 AM MT
Finance · Managed Care · Pharmacy

Colorado Children's Campaign Reports Widespread Pediatric Care Shortages

A new report from the Colorado Children's Campaign finds seven in ten Colorado children live in communities lacking enough pediatric primary care providers to meet estimated demand, with rural areas like the Eastern Plains hit hardest. The report, using 2024 state health department data, links the shortage to lower pediatrician pay and thin Medicaid reimbursement: Colorado spends an average of $2,883 annually per child enrolled in Medicaid, compared to $3,200 to $4,000 in neighboring states. More than 600,000 Colorado children rely on Medicaid or CHP+ for coverage. The findings arrive as state lawmakers face another tight budget year; in March, budget writers recommended eliminating planned stabilization payments for roughly 271 small, pediatric and rural primary care providers, raising concern among advocates that further Medicaid cuts could worsen access gaps.

Why it mattersLow Medicaid reimbursement and threatened stabilization payments put rural and pediatric primary care practices serving Medicaid-enrolled children at financial risk of closing or cutting services.

COColorado Public Radio6:04 AM MT
Maternal · CHIP · Finance

Washington Expects 250,000 to Lose Medicaid Under Work Rules

Washington's Health Care Authority estimates roughly 250,000 of the more than 600,000 Medicaid enrollees subject to new federal work requirements will lose coverage when the rules take effect in 2027. The requirements, created under federal legislation known as HR1, mandate that enrollees document 80 hours per month of work, volunteering, or school at renewal, or qualify for an exemption, with renewals now occurring every six months instead of annually. Exemptions cover pregnant people, caregivers, and those in addiction treatment, but CMS has told the state that a "medically frail" exemption cannot rely on diagnosis alone, leaving unclear what proof chronically ill enrollees like a Seattle man with Type 1 diabetes will need to submit. The state has spent $100 million and hired about 100 additional staff to automate renewals and limit coverage losses, while a state senator argues the rules will reduce long-term dependency on public benefits.

Why it mattersState Medicaid agencies must rapidly build verification and exemption infrastructure or risk mass coverage losses among eligible enrollees, with direct fiscal and enrollment consequences for managed care plans operating in expansion states.

WAopb.org6:05 AM MT
Managed Care · Finance

Commentary: Author Argues Nevada Tax Policy Shifts Medicaid Cuts' Burden to Working Families

In a Nevada Current commentary, the author argues that federal tax cuts paired with Medicaid reductions are leaving Nevada's working families to absorb rising healthcare costs while wealthy residents and corporations benefit from a regressive state tax structure. The piece cites projections that 31,000 Nevada Medicaid enrollees will lose coverage over the next three years, $100 million in lost hospital revenue, and Henderson Hospital's recent NICU closure, alongside a 17% premium increase for ACA marketplace plans. The author contrasts Governor Joe Lombardo's "no new taxes" campaign pledge with Nevada's tax incidence data showing low-income families pay 11.9% of income in state and local taxes versus 2.8% for the wealthiest 1%. The commentary calls on state lawmakers to close corporate and wealthy-resident tax loopholes to fund healthcare and education ahead of the next legislative session.

Why it mattersState lawmakers and Medicaid stakeholders face a funding gap as federal Medicaid cuts and ACA subsidy expirations collide with state revenue debates that will shape hospital solvency and coverage levels in Nevada.

NVnevadacurrent.com12:04 PM MT
Finance · Managed Care

Georgia Funds Obstetric Carts for Rural ERs After Unit Closures

Georgia is directing more than $12 million from its roughly $219 million first-year allocation under the federal Rural Health Transformation Program to place obstetric emergency carts in 43 rural hospitals that no longer offer labor and delivery services. The carts will carry neonatal resuscitation tools and medications like oxytocin and magnesium sulfate, with simulation drills to train ER doctors on high-risk birth procedures. The initiative responds to a wave of rural obstetric unit closures, including St. Mary's Sacred Heart Hospital in Lavonia, which cited Medicaid reimbursement cuts tied to federal budget legislation when it ended obstetric services. Only 36 percent of Georgia's rural hospitals now have labor and delivery units, forcing pregnant patients into long drives and emergency contingency planning; some clinicians argue the carts address symptoms rather than the underlying reimbursement pressures causing closures.

Why it mattersState Medicaid agencies and rural hospitals face mounting pressure to offset obstetric unit closures driven by low Medicaid reimbursement, and Georgia's cart strategy signals how states may use federal rural health funding as a stopgap rather than reversing the underlying payment shortfalls.

GA19thnews.org6:05 AM MT
Maternal

Oregon Approves 11-Hospital Rural Purchasing Network

The Oregon Health Authority approved the Cascades Rural High Value Network, letting 11 rural hospitals, including Bay Area Hospital, Grande Ronde Hospital and Curry Health District, pool purchasing power for supplies and equipment while remaining independently owned. Cibolo Health, which manages similar rural networks nationally, will operate the network, which plans to share data tools combining payer and patient records to flag high-risk patients and coordinate specialist referrals and transfers. The network requested $17.5 million over five years from the Rural Health Transformation Program to fund the shared data system, care coordinators and a referral hub. OHA's approval requires members to stay independently owned for at least five years, prohibits sharing sensitive pricing data, and mandates annual progress reporting.

Why it mattersRural hospitals facing cost pressure and staffing shortages gain shared infrastructure and potential federal funding, a model state Medicaid agencies may watch as a template for sustaining access in underserved areas.

ORBecker's12:05 PM MT
LTSS · Finance

Steil, Berman clash over Medicaid cuts in Wisconsin debate

U.S. Rep. Bryan Steil (R-Janesville) and Democratic challenger Mitchell Berman debated Tuesday in Janesville ahead of the Nov. 3 election, sparring over the 2025 federal tax and spending law's Medicaid impact. Berman, an emergency room nurse, argued the law cuts roughly $1 trillion from Medicaid over a decade and will push uninsured and underinsured patients into hospitals, shifting costs onto insured residents. Steil countered that a Wisconsin budget deal with Gov. Tony Evers secured an added $1 billion in federal Medicaid matching funds for the state, accusing Berman of spreading false information. The candidates also disputed ACA marketplace subsidy expirations, with Berman citing projections of 270,000 Wisconsinites losing coverage.

Why it mattersThe debate signals Medicaid funding cuts and coverage losses will be a central campaign issue shaping voter and legislative attention on state Medicaid financing ahead of the election.

WIwisconsinexaminer.com6:06 AM MT
Finance · Managed Care

NC Health News Publishes 2026 Congressional Candidate Health Care Guide

North Carolina Health News released a voter guide compiling candidate positions on health care issues, including Social Security, Medicare, Medicaid, drug and health care prices, vaccines, AI and PFAS, for North Carolina's 2026 U.S. Senate and House races. The outlet surveyed candidates starting in September and supplemented non-responses with independent research from campaign materials, social media, interviews and public appearances. The guide organizes candidate profiles by race, including the statewide Senate contest and individual House districts, with links to each candidate's stated positions. It does not report a specific policy action but serves as a voter reference tool ahead of the election.

Why it mattersMedicaid stakeholders in North Carolina can use the guide to gauge how the state's next congressional delegation may approach federal Medicaid financing and oversight decisions.

Managed Care

Maryland Governor Touts $25M Fund to Offset Medicaid Coverage Losses

At the ninth annual Bloomberg American Health Summit in Baltimore, Maryland Gov. Wes Moore highlighted $25 million in new state funding intended to help residents who lost Medicaid coverage due to the 2025 federal budget reconciliation law (H.R. 1) access care at community health centers and local health departments instead of emergency rooms. The funding was approved in July by the Health Services Cost Review Commission, and the Maryland Health Care Commission has opened applications for federally qualified health centers and certain local health departments. Moore also pointed to the state's new Vax Act, giving the state health secretary authority to issue vaccine recommendations independent of federal guidance. Baltimore Mayor Brandon Scott separately discussed framing gun violence as a public health issue amid a sharp drop in city homicides.

Why it mattersState Medicaid stakeholders and safety-net providers should track how Maryland's new grant funding and application process for FQHCs and health departments could offset uncompensated care costs stemming from federal coverage losses under H.R. 1.

MDmarylandmatters.org6:06 AM MT
Finance · Managed Care

Miller-Meeks, Bohannan Clash Over Costs, Medicaid Cuts in Iowa Debate

Republican Rep. Mariannette Miller-Meeks and Democratic challenger Christina Bohannan debated Tuesday in their rematch for Iowa's 1st Congressional District, with Bohannan citing Miller-Meeks' vote for the 2025 reconciliation law's Medicaid cuts as evidence she has driven up costs for Iowa families. Miller-Meeks defended the bill as lowering taxes on tips, overtime and Social Security, and touted a new steel mill project in her district. The debate, hosted by KWQC and KCRG in Davenport, was the only scheduled live matchup ahead of the Nov. 5 election in a race rated "leans Democrat" by Cook Political Report. The candidates also sparred over tariffs and congressional war powers votes tied to the Iran conflict.

Why it mattersThe debate highlights Medicaid cuts from the 2025 federal reconciliation law as a live campaign issue in a competitive House race that could affect the law's political durability and future legislative action on Medicaid financing.

IAiowacapitaldispatch.com6:06 AM MT
Finance

Oregon's Automatic Hospital Financial Aid Law Boosts Patient Relief

Oregon's 2024 law requires hospitals to proactively screen nearly all patients for financial aid rather than relying on applications, a presumptive eligibility model drawing national attention. At Oregon Health & Science University's hospital, the share of patients automatically qualifying for assistance jumped from 12% to 64%, and statewide hospital spending on financial aid more than doubled in the first full fiscal year. Insured patients saw notable gains in assistance as well. Hospitals are now pushing back, citing screening-tool costs and financial strain from federal Medicaid and ACA subsidy cuts, even as North Carolina, California, and Delaware adopt similar presumptive eligibility requirements.

Why it mattersStates expanding presumptive eligibility requirements will significantly increase nonprofit hospitals' charity care obligations and reporting burdens just as federal Medicaid cuts squeeze hospital margins.

ORKFF Health News6:07 AM MT
Finance

Commentary: Authors Urge NJ to Reform Collapsing Public Health Plan

In a New Jersey Monitor commentary, the authors argue that New Jersey's State Health Benefits Program is collapsing under rising premiums, with some family coverage now exceeding $68,000 annually, prompting local governments to drop out, shift costs to workers, or raise property taxes. They write that labor and management groups have united behind reforms including reference-based pricing, claims auditing, and pharmacy benefit manager changes, and cite Oregon, Connecticut, Montana, and Washington as states that cut healthcare costs through public purchasing power without reducing benefits. The authors contend that allowing the plan to shrink would raise private market prices statewide and threaten retiree benefits, and they call on Gov. Sherrill and the Legislature to act. They also note that federal Medicaid cuts and reduced ACA subsidies make expanding, not cutting, public coverage more urgent.

Why it mattersThe commentary frames the state employee plan's stability as a benchmark affecting private insurance pricing and Medicaid-adjacent affordability pressures statewide, which matters for state budget officials and labor negotiators weighing cost-containment reforms.

NJnewjerseymonitor.com6:08 AM MT
Finance · Pharmacy

Michigan Cancels 955 ACA Enrollees in Federal Fraud Crackdown

Michigan's Department of Insurance and Financial Services reports that 955 Affordable Care Act enrollees, covering 706 policies, had coverage canceled on Aug. 31 as part of a nationwide federal crackdown on alleged marketplace fraud. Another 1,372 enrollees, covering 1,065 policies, remain under review as of Sept. 23. The national effort, announced by Vice President JD Vance, cut roughly 760,000 enrollees from ACA exchanges and flagged 419,000 more for review, citing $2.2 billion in taxpayer savings. State officials say they saw rising complaints about unauthorized enrollments and plan switching starting in 2025, and some enrollees have since been reinstated; those wrongly canceled can contact the Marketplace Call Center or the state agency for help.

Why it mattersState insurance regulators and marketplace navigators must handle a wave of enrollee disputes and reinstatement requests even as ACA participation already declines amid rising premiums.

MIbridgemi.com12:06 PM MT
CHIP

250,000 Washington Residents Risk Losing Medicaid Next Year

Citing OPB's First Look newsletter, which references KUOW reporting, roughly 250,000 Washington residents may lose Medicaid coverage next year. The newsletter item does not detail the specific cause, but flags it as a looming coverage loss affecting a large share of the state's Medicaid population. The broader newsletter primarily covers the Bend, Oregon school shooting investigation and other Northwest news, with this Medicaid item appearing as a headline link. No timeline or policy mechanism is specified in the source material.

Why it mattersState Medicaid agencies and managed care plans in Washington face potential large-scale enrollment losses that could disrupt coverage continuity and plan revenue projections.

WAopb.org12:07 PM MT
Managed Care · Finance

Pennsylvania Alerts Doctors to Rise in Congenital Measles Cases

Pennsylvania's health department issued an alert to physicians Monday warning of an increase in measles cases among pregnant women and growing concern about congenital measles, a condition rarely seen in the U.S. in which a newborn contracts measles from the mother. The department said this marks the first identification of congenital measles in the state in recent memory. The alert urges clinicians to watch for symptoms in newborns and pregnant patients and to report suspected cases. No specific policy or coverage changes were announced alongside the clinical warning.

Why it mattersState Medicaid agencies and MCOs covering maternal and newborn populations need heightened provider awareness and surveillance protocols to catch congenital measles early and prevent broader outbreaks among vulnerable beneficiaries.

PAThe Hill12:07 PM MT
Maternal

Industry

20 storiesIndustry section →

Elevance Raises Medicaid Margin Outlook After July Rate Hikes

Elevance Health reports that states increased Medicaid capitation rates in July, improving the insurer's financial outlook for its Medicaid business. The company now expects its Medicaid margin to come in better than its prior forecast of -1.75% for the year. The improvement reflects states adjusting payment rates upward, which benefits Medicaid managed care organizations facing elevated medical costs. Elevance disclosed the updated outlook as part of its third-quarter earnings commentary.

Why it mattersHigher state-directed Medicaid capitation rates signal easing margin pressure for managed care organizations, a key signal for investors and state agencies negotiating future rate cycles.

USHealthcare Dive12:04 PM MT
Managed Care · Finance

NHeLP Analysis Finds Gaps in Medicaid Doula Enrollment Across States

In a National Health Law Program report, researchers analyze doula provider enrollment data across the 28 states, Guam, and Washington D.C. that have implemented Medicaid coverage for doula care. The analysis compares doulas with National Provider Identifier numbers to those actually enrolled as Medicaid providers, finding comprehensive data in only ten states. California and Michigan lead in enrollment numbers and NPI-to-enrollment conversion rates, which the authors attribute to sustained state agency collaboration and dedicated workforce-building initiatives rather than managed care structure. The report finds a persistent gap nationwide between enrolled doulas and Medicaid-financed births, citing New Jersey's 254 enrolled doulas against roughly 30,000 Medicaid-financed births annually as evidence of limited access despite expanding coverage.

Why it mattersState Medicaid agencies and MCOs designing or refining doula benefits need enrollment and workforce data to close the gap between coverage policy and actual access for Medicaid-financed births.

USNational Health Law6:05 AM MT
Maternal · Managed Care

Ascension Resumes Acquisitions, Sells Arizona Medicaid Plan Stake

Ascension is expanding again after a period of hospital divestitures, with its latest deal being an Oct. 1 agreement by Ascension Seton to acquire three Family Hospital Systems care sites near Austin, including an emergency/inpatient hospital and two urgent care and imaging locations. The move follows Ascension's $3.9 billion Amsurg acquisition in June, which added over 250 ambulatory surgery centers, and a June purchase of full ownership of Cedar Park Medical Center for $436 million. The system reported a narrowed operating loss and improved margins for fiscal 2026 after years of losses and hospital sales. Separately, Ascension agreed earlier this month to sell its stake in Arizona Medicaid managed care plan Mercy Care to Aetna, signaling a pullback from insurance as it reinvests in care delivery and ambulatory infrastructure.

Why it mattersAscension's exit from Mercy Care hands Aetna a larger foothold in Arizona's Medicaid managed care market, while the health system's pivot toward ambulatory and outpatient acquisitions signals reduced health-system appetite for direct Medicaid plan ownership.

AZBecker's12:04 PM MT
Managed Care · Finance

Webinar Reviews Medicaid Coverage Rules and Barriers for Immigrants

In its October Medicaid Connections webinar, the host organization discussed policies governing Medicaid coverage for immigrants, including recent changes that have reduced that coverage. The session reviewed eligibility rules and other information advocates need to understand to help immigrant populations access health coverage and care. An audio transcript of the discussion is available for download. The webinar does not report a new policy action but serves as an educational resource on existing and recently changed immigrant eligibility rules.

Why it mattersAdvocates and enrollment assisters need current, accurate information on immigrant eligibility rules to help eligible individuals maintain or obtain Medicaid coverage amid recent restrictions.

USGeorgetown CCF12:05 PM MT
Managed Care

Commonwealth Fund Report Finds 10 States Lack Birth Centers

The Commonwealth Fund released a report finding 10 states, including Arkansas, Hawaii, Iowa, Kentucky, Mississippi, Missouri, Nebraska, North Dakota, Rhode Island and Vermont, have no birth centers, while eight more have only one. Birth centers, typically staffed by midwives, serve low-risk pregnancies and are linked to better maternal and infant health outcomes, with disproportionate use by Black, Indigenous and Hispanic patients who face higher rates of poor birth outcomes. The report attributes recent closures to tight state regulations, rising malpractice insurance costs and low Medicaid reimbursement rates, noting about 40% of birth center patients pay out of pocket. Researchers suggest pairing birth centers with community health centers, which can share malpractice coverage, billing infrastructure and patient populations, as a model to expand access and improve outcomes, particularly for Medicaid-insured patients.

Why it mattersState Medicaid agencies and health plans face mounting pressure to raise birth center reimbursement rates and streamline licensing to prevent further closures that disproportionately reduce maternity access for Black and rural Medicaid enrollees.

USstateline.org6:05 AM MT
Maternal · Managed Care

Health Systems Direct Rural Transformation Funds to AI, Telehealth

Becker's Hospital Review compiles state and health system announcements showing how 12 rural hospital systems are spending Rural Health Transformation Program awards ahead of states' Oct. 30 deadline to obligate first-year funds. The five-year, $50 billion CMS program, created under HR 1, gives states broad discretion over spending, and a CMS report on funds obligated through July 31 shows large sums going to technology: Missouri committed $24.4 million to EHR upgrades and $4.2 million to ambient AI, while Mississippi set aside $47.5 million for a rural provider technology grant program. Individual systems including Ascension, Baptist Health, Mercy, Ochsner and Vandalia Health are using awards ranging from roughly $150,000 to $9.6 million for AI-enabled virtual care, remote patient monitoring, smart rooms, telehealth hubs and EHR modernization. Project details come from state and system announcements and may change before grant agreements finalize.

Why it mattersRural hospitals and state Medicaid agencies should track how these technology investments reshape care delivery capacity and infrastructure readiness ahead of the Oct. 30 fund-obligation deadline.

USBecker's6:07 AM MT
LTSS · Behavioral Health · Maternal · Finance

Nursing Home Investors Cite Renovation Costs as Expansion Barrier

At Skilled Nursing News' RETHINK Conference, REIT and operator executives described how aging building stock, renovation costs, and Medicaid reimbursement sustainability are slowing nursing home expansion despite rising demand. Omega Healthcare Investors' Daniel Miltner said the REIT is prioritizing "future-proofing," including unit configuration and sustainable state Medicaid rates, before committing capital. Operator executives Kimberly Green (Sage Integrated Health) and Steve LaForte (Cascadia Healthcare) said right-sizing rent, negotiating seller-funded repair reserves, and building a sustainable workforce are key to making deals work amid aging infrastructure and regulatory and reimbursement pressures, including the 2025 federal reconciliation law (OBBBA).

Why it mattersSlower nursing home expansion and renovation investment, tied partly to state Medicaid reimbursement adequacy, directly affects long-term care bed capacity and access for Medicaid LTSS beneficiaries.

USskillednursingnews.com6:07 AM MT
LTSS · Finance

ICER Report Finds New Drug Launch Prices Up 35% Since 2022

A new report from the Institute for Clinical and Economic Review and West Health finds the median annual net launch price of new drugs rose 35% from 2022 to 2025 after adjusting for inflation, though prices dipped 2% from 2024 to 2025. The 2025 median net price was about $257,000 annually, with roughly a quarter of new drugs priced above $500,000 and two exceeding $2 million. The report also found access problems: only 36% of outpatient prescriptions for recently launched drugs were filled within 30 days, with Medicare the weakest payer at just 20% filled and 58% rejected for lack of coverage. PhRMA disputes ICER's methodology, arguing it ignores long-term pricing trends and generic competition.

Why it mattersRising launch prices combined with high coverage-denial rates, especially in Medicare, signal growing pharmacy budget pressure and utilization management friction for Medicaid managed care plans administering drug benefits for dually eligible and other high-cost populations.

USBecker's12:05 PM MT
Pharmacy · Finance

ASHP Reports Worsening Chemotherapy Shortages in Q3

In its Q3 drug shortage report, ASHP finds chemotherapy shortages worsened even as total active U.S. drug shortages held steady at 225. A Pfizer manufacturing facility flood in India, affecting generic chemo agents for several cancers, is expected to disrupt supply into 2028, compounding existing shortages of drugs like ifosfamide and carboplatin. Cancer centers and children's hospitals cite chemotherapy as their top shortage concern due to limited alternatives, and 16% of active shortages involve controlled substances affecting chronic pain and ADHD patients. ASHP recommends reshoring manufacturing and long-term purchasing contracts, while noting a federal initiative aims to relocate production of 86 essential medicines to the U.S. within 18 months.

Why it mattersProlonged chemotherapy and contrast agent shortages threaten treatment delays for Medicaid-covered cancer patients and strain providers' and pharmacies' ability to source critical medications.

USBecker's6:08 AM MT
Pharmacy

Study Finds Commercially Insured Patients Face Mental Health Access Gaps

A JAMA-published secret-shopper study of Blue Cross Blue Shield plans in New Jersey, Delaware, Montana, Rhode Island, and Virginia found fewer than a quarter of answered calls to psychiatrists or psychologists resulted in an appointment. More than half of calls uncovered directory errors such as providers no longer in-network, retired, or at the wrong address, and 22% found providers too busy to accept new patients. Horizon Blue Cross Blue Shield of New Jersey performed best among plans studied but still averaged three-week wait times for a first appointment. Researchers from Ohio State and Stanford conclude that access barriers long documented in public insurance programs like Medicaid also extend to commercially insured populations, undermining assumptions that private coverage guarantees timely mental health care access.

Why it mattersThe findings reinforce that provider directory inaccuracy and behavioral health network inadequacy are industry-wide problems, strengthening the case for stricter network adequacy enforcement that regulators apply to both commercial and Medicaid managed care plans.

NJnewjerseymonitor.com6:08 AM MT
Behavioral Health · Managed Care

Centene, UnitedHealthcare Expand ACA Counties Amid Broader Exits

Centene, Oscar, and UnitedHealthcare are adding new counties to their 2027 Affordable Care Act marketplace offerings even as a wave of insurers scales back exchange participation nationally. For Centene and UnitedHealthcare specifically, the new county additions mask larger overall state-level exits, meaning their net exchange footprint is shrinking despite the targeted expansions. The moves reflect insurers recalibrating ACA strategy amid shifting enrollment and risk dynamics heading into 2027. Consumers in dropped states and counties will need to find new marketplace plans during open enrollment.

Why it mattersFor Medicaid stakeholders, these ACA marketplace shifts matter because the same insurers managing exchange exits and entries often run Medicaid MCOs in overlapping markets, signaling broader shifts in their risk appetite and geographic strategy that could affect churn between Medicaid and marketplace coverage.

USHealthcare Dive12:06 PM MT
Managed Care · Finance

Integris Health Signs Deal to Join Kaiser's Risant Health

Oklahoma City-based Integris Health has signed a definitive agreement to join Risant Health, a nonprofit created by Kaiser Permanente in 2023 to expand value-based care, pending regulatory approval. Integris would become Risant's third member system alongside Geisinger and Cone Health, with Risant becoming its corporate parent while Integris retains its name, brand, medical staff and leadership. The system, which operates 20 hospitals and 13,000 employees, will continue contracting with other health plans and independent physicians. Integris leadership cited access to capital and technology investments it could not achieve independently as the rationale for the deal.

Why it mattersHealth plans and providers contracting with Integris should watch for governance and network changes as the system transitions to a new value-based-care-focused corporate parent.

OKBecker's12:06 PM MT
Managed Care

Home Health Executives Detail Payer Demands, AI Adoption at Conference

At Home Health Care News' FUTURE conference, home-based care executives described rising expectations from payers and referral partners, including rapid referral acceptance, same-day or next-day starts of care, and granular outcomes data such as rehospitalization rates tied to medication errors. Executives from LifeCare Home Health Family, Cornerstone Medical Supply, and Riverside Home Care said providers must build compliance into daily operations and remain selective about payer relationships rather than chasing every contract. LifeCare's CEO said AI scribe technology cut start-of-care time from roughly two and a half hours to 45 minutes, freeing clinician time for patient care and additional visits. Executives recommended providers first evaluate AI capabilities within existing EMR systems before purchasing new tools.

Why it mattersHome health and personal care providers serving Medicaid managed care members must build compliance and data-reporting infrastructure or risk exclusion from preferred-provider networks and value-based contracts.

USHome Health Care News6:09 AM MT
LTSS · Managed Care

Elara Caring Board Chair Predicts More Payer Buyouts in Hospice

In an interview with Hospice News, Elara Caring board chair Paul Kusserow discusses his return to home-based care after leading Amedisys through its $3.3 billion acquisition by Optum. Kusserow, now an operating partner at Ares Management, which owns roughly 60% of Elara Caring alongside co-investor DaVita's 40% stake, says consolidation among top home health and hospice players, including Amedisys, LHC Group, Gentiva, and Enhabit, has left remaining payers like CVS/Aetna and Elevance likely to pursue home-based care acquisitions. He notes Elara Caring operates in home health, hospice, and a smaller Medicaid-focused personal care business, and flags heightened industry scrutiny of fraud, waste, and abuse since his prior tenure. No specific transaction or regulatory action is announced.

Why it mattersState Medicaid agencies and MCOs overseeing personal care and home-based LTSS benefits should watch for continued payer consolidation that could reshape provider networks and ownership structures in home health, hospice, and personal care services.

UShospicenews.com12:07 PM MT
LTSS · Managed Care · Finance

Hackensack Meridian, Hunterdon Health Sign Merger Agreement

Hackensack Meridian Health and Hunterdon Health have signed a merger agreement that still requires regulatory approval. As part of the deal, Hackensack Meridian will invest roughly $230 million to upgrade Hunterdon's facilities and implement Epic's electronic health record system. The merger would expand Hackensack Meridian's New Jersey hospital network and bring Hunterdon onto a shared EHR platform, though no closing timeline was specified.

Why it mattersHospital system consolidation of this scale can reshape provider networks and negotiating leverage that Medicaid MCOs rely on for contracting and rate negotiations in New Jersey.

NJHealthcare Dive12:07 PM MT
Managed Care

Safety-Net Hospital CEO Discusses Disparities, Leadership, Funding Pressures

In a Becker's Healthcare Podcast interview, Zuckerberg San Francisco General Hospital CEO Susan Ehrlich, MD, discusses her dual role as a practicing primary care physician and hospital executive, a combination held by only a small share of healthcare CEOs. She reflects on major transitions during her decade-long tenure, including a new facility, an Epic EHR rollout, and the COVID-19 pandemic, which deepened the hospital's community partnerships with the San Francisco Department of Public Health. She also offers leadership advice on balancing strategic and operational focus, and flags healthcare costs and upcoming funding pressures, referencing federal legislation known as HR 1, as an underappreciated issue warranting more attention.

Why it mattersSafety-net hospitals serving large Medicaid populations face mounting financial pressure from federal funding changes, making executive perspectives on cost efficiency and community health infrastructure directly relevant to state Medicaid agencies and provider partners.

CABecker's6:09 AM MT
Managed Care

St. Luke's Health System to Launch Medicare Advantage Plan in 2027

Boise-based St. Luke's Health System will enter the Medicare Advantage market for the first time in 2027, becoming one of only a handful of new MA entrants nationally even as more than a dozen payers and several health systems exit the market due to reimbursement pressures and rising medical costs. The new MA-PD HMO plan will cover seven Idaho counties where St. Luke's has established specialist networks, and will offer $0 copays for primary care, outpatient mental health, and preventive care. St. Luke's launched its health plan in 2023 with individual and employer products and has grown to roughly 65,000 members. The move comes as competitors retrench in Idaho, with Saint Alphonsus exiting the MA market entirely and UnitedHealthcare and Humana shrinking their state footprints.

Why it mattersThe launch signals a provider-sponsored health plan betting on vertical integration and member cost-sharing reductions just as larger national insurers retreat from Medicare Advantage amid persistent margin pressure.

IDBecker's6:09 AM MT

CentraCare to Acquire Minnesota Physician Group Stellis Health

CentraCare, a St. Cloud, Minnesota-based health system, plans to bring physician-owned Stellis Health into its organization, according to a news release shared with Becker's. Stellis shareholders have voted to move forward, and the two organizations are finalizing agreements and completing regulatory review with a target closing date of January 1. Stellis has more than 60 providers across locations in Buffalo and Monticello, and its physicians already deliver care at CentraCare-Monticello Hospital. Stellis clinics will continue operating as usual during the transition, and patients can keep seeing their current providers.

Why it mattersThe consolidation expands CentraCare's provider network and care continuum in Minnesota, a shift Medicaid managed care plans and state officials will need to track for network adequacy and contracting purposes.

MNBecker's12:07 PM MT
Managed Care

Fitch, Moody's Reports Identify 87 Financially Strong Health Systems

Becker's Hospital Review compiles a list of 87 U.S. health systems that credit rating agencies Fitch Ratings and Moody's Investors Service identified in 2026 reports as having strong operational metrics and solid financial positions. The list, described as non-exhaustive, includes systems such as AdventHealth, Ascension, Banner Health, BJC Health and Bon Secours Mercy Health, each with specific credit ratings and stable outlooks tied to factors like market share, balance sheet strength, geographic diversification and operating performance. Rating agencies cite drivers including merger integration, ambulatory and outpatient expansion, and disciplined cost management. The compilation offers a snapshot of hospital sector credit health rather than reporting a single new rating action.

Why it mattersCredit ratings and the financial drivers behind them signal which health systems have capacity to absorb Medicaid rate pressures, payer mix shifts, and managed care contracting demands without jeopardizing access or service lines.

USBecker's6:10 AM MT
Finance

Home Care Association Names VP of Public Policy for Medicaid Issues

Home Health Care News reports several leadership moves across home care companies. Bayada Home Health Care named Melanie Sponholz chief compliance officer, promoting her from deputy compliance officer. Comfort Keepers hired Jessie Brumbach as chief marketing officer, and VNS Health promoted Thomas Cocozza to senior vice president of personal care. Most notably for Medicaid stakeholders, the Home Care Association of America named Damon Terzaghi as vice president of public policy, a role focused specifically on Medicaid and home- and community-based services policy; he previously led Medicaid and home care policy at the National Alliance for Care at Home. HomeWell and Touching Hearts at Home also announced new franchise operations leaders.

Why it mattersHome care providers and state Medicaid HCBS program staff should expect increased, more organized trade association advocacy on Medicaid home care reimbursement and policy issues under dedicated leadership.

USHome Health Care News6:10 AM MT
LTSS

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