HHS authorizes five states for historic healthcare support during post-incarceration transition

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HHS authorizes five states for historic healthcare support during post-incarceration transition

Andrea Palm, Deputy Secretary | https://www.hhs.gov/about/leadership/andrea-palm.html

Illinois, Kentucky, Oregon, Utah, and Vermont are set to provide improved continuity of Medicaid and CHIP coverage for incarcerated individuals. These populations have historically faced neglected health care needs ranging from substance-use disorder treatment to chronic physical health conditions.

Adults and youth transitioning out of incarceration often experience delays in accessing Medicaid or CHIP coverage upon reentry into their communities. This delay can negatively impact public health and safety. Today, the U.S. Department of Health and Human Services (HHS), through the Centers for Medicare & Medicaid Services (CMS), approved new Medicaid and Children’s Health Insurance Programs (CHIP) demonstrations for these five states. The initiative aims to provide coverage before release, ensuring a seamless transition and avoiding gaps in coverage. These states join California, Massachusetts, Montana, and Washington in this innovative approach to expanding access to high-quality, affordable health care.

“The Biden-Harris Administration is working to ensure every American has access to high-quality, affordable health care. This is an essential step for advancing health equity in our nation,” said HHS Secretary Xavier Becerra. “For people involved in the justice system, ensuring a successful transition back into the community includes having the health care supports and services they need. I’m pleased to see more and more states putting resources behind efforts that will ensure these individuals have what they need to thrive.”

“For the first time ever, thousands of incarcerated people in Illinois, Kentucky, Oregon, Utah, and Vermont will have critical supports during their transition out of a carceral setting thanks to this important health care coverage,” said CMS Administrator Chiquita Brooks-LaSure. “At the heart of that work are Medicaid and CHIP — programs that continue to bring states and the federal government together to meet the needs of our communities."

“Expanding access to life-saving treatment and recovery supports for incarcerated people is a critical part of our bipartisan efforts to beat the overdose epidemic and save lives,” said White House Office of National Drug Control Policy (ONDCP) Director Dr. Rahul Gupta.

The Medicaid Reentry Section 1115 Demonstration Opportunity allows states to cover certain services not otherwise covered by Medicaid or CHIP up to 90 days before an eligible person’s expected release from incarceration. This includes substance-use disorder treatment before a beneficiary's release from jail or prison. Additionally, states can help connect individuals with community-based providers up to 90 days prior to release.

These demonstrations aim for increased coverage continuity through eligibility assessments just prior to release; improved service access; better coordination among correctional facilities, Medicaid programs including managed care plans; enhanced investments in healthcare quality; stronger connections between carceral settings and community services; better behavioral health interventions; reduced emergency department visits; fewer inpatient hospitalizations; and lower all-cause deaths among recently incarcerated individuals with Medicaid eligibility.

A previously released report from HHS Assistant Secretary for Planning and Evaluation highlights significant challenges justice-involved individuals face when returning to communities—such as high rates of SUDs, opioid overdoses, serious mental illness as well as infectious diseases—and underscores how initiatives like these reentry demonstrations improve transitions.

CMS continues collaborating with other states on similar demonstration requests under Section 1115 using a streamlined approach aimed at expediting approvals while advancing high-quality healthcare coverage aligned with Biden-Harris Administration priorities.