States to Share Medicaid Technology

The states of Michigan and Illinois have created an interstate alliance to enable Illinois to access Michigan’s Medicaid Management Information System (MMIS) as a shared cloud-based service. The Illinois MMIS is more than 30 years old and the state has been working on an economical way to implement a replacement system. Through the Illinois Michigan Program Alliance for Core Technology (IMPACT) project, Illinois will be able to modernize its outdated MMIS system.

Utilizing the Michigan/Illinois partnership, the cost for sharing services will significantly reduce the cost from $190 million for a stand-alone system to $85 million for implementation using the shared cloud model. The partnership is expected to save the state of Michigan 20 percent in operation and maintenance costs as well as potentially $10 million over a five year period.

In addition, anticipated operational savings for this partnership are estimated to be $196 million for the federal government and $57 million for Illinois over a five year period versus a traditional stand-alone system.

The first phase of the Michigan-Illinois system will be launched in conjunction with the Michigan Community Health Automated Medicaid Processing System (CHAMPS), a federally certified system.

Provider enrollment deployment is expected early 2014 for the Michigan Department of Community Health (MCDH) with full operational implementation expected in 2016. In addition, the electronic Medicaid Incentive Payment Program (eMIPP) module implementation will also be part of phase one.

CNSI a solutions provider specializing in health IT was procured by the state of Michigan to build the infrastructure for Michigan’s MMIS and CNSI will continue to implement the technological components of the system for the Michigan-Illinois partnership.

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