December was a relatively quiet end to a rather noisy 2012, which saw the Supreme Court ruling on the Affordable Care Act and the reelection of President Barack Obama, solidifying health reform. The individual mandate was ruled constitutional, while Medicaid expansion was left to the states to decide their fate. As states begin to conduct analysis on the fiscal impact of expansion, few states are unexpectedly finding Medicaid expansion will keep them in the black, not the red. Two of these states are Arkansas and Oklahoma. Arkansas estimates Medicaid expansion could save the state $372 million from state fiscal year (SFY) 2014-2021, or about $53 million annually. Oklahoma estimates expansion could save the state nearly $48 million annually.
In terms of health insurance exchange (HIX) development (recently rebranded as “health insurance marketplaces”), states were given until December 14, 2012, to submit their blueprint to the federal government. The deadline for a decision to partner with the feds is due in February. To date, the federal government has spent $2.2 billion to help states establish their health insurance exchanges. Progress was also made in 2012 in the area of interoperability, as integrated eligibility systems took off, syncing health and human services IT systems.
Procurement activity in December included:
· The Kentucky Cabinet for Health and Family Services (CHFS) released a request for information (RFI) for quality health information (QHI) framework. The focus of the RFI is the assessment of recommendations for technology standards and approaches for the development of an interoperable, scalable and easily adaptable cross-sector technology framework.
· The Colorado Department of Human Services, Office of Long Term Care, Division of Regional Center Operations (DRCO), in cooperation with the Governor's Office of Information Technology, released an RFI on December 7, for electronic health record, clinical, and accounting system services.
· The Tennessee Department of Labor and Workforce Development released a request for proposals (RFP) for the Southeast Consortium to design, develop and implement a multi-state unemployment insurance benefits system for Tennessee, North Carolina, South Carolina and Georgia.
· The Connecticut Health Insurance Exchange released an RFP for a small business health options program (SHOP) on December 17. Proposals are due by 5 p.m. EST on January 22, 2013.
· The Kentucky Finance and Administration Cabinet, on behalf of the Department for Income Support/Child Support Enforcement (DIS/CSE), released an RFP for child support new hire and employer data.
· The Washington Department of Early Learning released an RFP on December 19, for project management, analysis and requirements for child care subsidy electronic attendance record tracking and payment system services.
· The Mississippi Information Technology Services released an RFP a for patient information management system. Proposals are due January 24 by 3 p.m. CST.
· The South Carolina Department of Health and Human Services awarded its member management technology framework to IBM on December 27, in the amount of $22,779,268.
· The District of Columbia Department of Human Services awarded its access system (DCAS) to Infosys Public. The contract will develop the district’s HIX and is valued at $49,465,158.
Since the health insurance marketplace will continue to be a hot topic as we move into 2013, be sure to brush up on your knowledge with Deltek’s Health Insurance Exchange Vertical Profile Application. The expanded coverage gives vendors a competitive edge by extensively tracking states’ progress in HIX implementation. Non-subscribers can gain access with a GovWin IQ free trial.
As always, be sure to follow Deltek’s Health Care and Social Services Team on Twitter @GovWin_HHS, or connect with us through LinkedIN.