Change update: CMS allows for speedier Medicaid reimbursements

By Hayley Desilva / March 15, 2024

The Centers for Medicare and Medicaid Services said Friday it was taking steps to allow states to speed Medicaid reimbursement payments to providers affected by the Change Healthcare cyberattack.

The flexibilities allow states to submit Medicaid state plan amendments so they can make interim payments to providers for services for which claims have not been submitted because of the outage. The payments can be retroactive to Feb. 21 for any claims affected by the incident at Change Healthcare, a claims and billing processor within UnitedHealth Group's Optum subsidiary, CMS said in a news release. 

As soon as the amendment form is submitted and approved, states will be able to use Federal Financial Participation funds, the agency said. The flexibility would only apply to affected providers and for services dates through June 30. The agency said it encouraged states to submit the required documentation by March 31.

CMS also reopened the window for the 2023 Merit-based Incentive Payment System Extreme and Uncontrollable Circumstances Exception Application and extended the deadline for data submission for clinicians affected by the incident to April 15.

There have been calls for CMS to reopen the application period in light of the cyberattack.