CMS - Centers for Medicare & Medicaid Services

01/29/2026 | Press release | Distributed by Public on 01/29/2026 09:04

Medicaid Technology Companies Pledge $600M in Savings to Support Community Engagement and Related State Medicaid System Improvements

Medicaid Technology Companies Pledge $600M in Savings to Support Community Engagement and Related State Medicaid System Improvements

The Centers for Medicare & Medicaid Services (CMS) today announced that 10 health technology companies that have existing Medicaid eligibility and enrollment contracts with states have voluntarily pledged to help states successfully prepare for and implement Medicaid community engagement requirements enacted under President Trump's Working Families Tax Cut (WFTC) legislation (Public Law 119-21).

Companies that currently support state Medicaid systems have informed CMS that they intend to offer states more than $600 million in no-cost and significantly discounted technology products and services to support community engagement implementation while accelerating broader modernization of Medicaid systems. These voluntary commitments are expected to generate significant savings over the coming years for states and taxpayers and improve beneficiary experience.

"Community engagement provides dignity and purpose," said Health and Human Services Secretary Robert F. Kennedy, Jr. "Thanks to Dr. Oz's leadership, we're one step closer to delivering President Trump's vision of bringing every able-bodied adult on Medicaid into the workforce and other cornerstones of society."

"Community engagement is not just a policy requirement-it is an opportunity for states to modernize Medicaid systems while strengthening connections to work, education, and community-based opportunities," said CMS Administrator Dr. Mehmet Oz. "The Trump administration has demonstrated its power to convene time and again. By obtaining these voluntary commitments from industry, CMS aims to help states implement these requirements efficiently, reduce costs for taxpayers, and deliver a more streamlined and supportive experience to help lift beneficiaries back into our communities."

"From the outset, our focus has been on helping states implement these requirements efficiently while supporting new innovations in Medicaid that improve the beneficiary experience," said Dan Brillman, Director of the Center for Medicaid and CHIP Services. "We applaud vendors for their voluntary commitments and discounting their solutions, providing states with additional options as they plan their implementation and modernize their Medicaid systems."

The community engagement requirements of the WFTC legislation apply to certain adults enrolled in Medicaid and have the potential to empower these beneficiaries through employment, education, volunteering, or job training opportunities. CMS issued guidance to states in late 2025 providing an overview of these requirements.

Since enactment of the law, CMS has worked closely with states and conducted outreach to technology companies to better align eligibility and enrollment system changes, expand testing environments, and support automated, consent-based data verification for income, education, and related activities. These efforts have included testing beneficiary engagement tools and developing an open-source tool (EMMY), which streamlines eligibility determinations, provides access to data sources for verification (EMMY APIs), and offers states free technical resources to strengthen readiness for community engagement.

CMS has also encouraged adoption of innovative tools to support outreach, community-based referral coordination, and secure data sharing, helping state efforts to operationalize community engagement in ways that minimize administrative burden for both agencies and beneficiaries. These new voluntary commitments will help states make effective use of initial federal implementation funding while creating room for investment in modern, beneficiary-centered solutions.

Companies voluntarily participating include Accenture, Acentra Health, Conduent, GDIT, Deloitte, Gainwell, Maximus, Curam by Merative, Optum, and RedMane.

CMS is also taking steps to help states access additional methods for purchasing and procuring technology solutions. In partnership with the General Services Administration (GSA), CMS is working to streamline pathways for qualified vendors to obtain a GSA Schedule, allowing states to more quickly procure technology solutions at transparent pricing.

"Our partnership with CMS is driving action fast," said GSA Administrator, Edward C. Forst. "By accelerating access to the GSA Schedule, we are helping states quickly adopt proven, transparently priced technology and strengthening direct connections with vendors that turn innovation into impact."

CMS has also worked to facilitate a series of in-person and virtual demonstration sessions for states to engage with a number of technology vendors that provide solutions for eligibility and enrollment, automated data verification, and coordination and connections to employment, education, job training and community activities.

States are required to implement community engagement requirements by January 1, 2027, and may choose to implement earlier. CMS will continue to provide technical assistance, guidance, and resources to support states throughout implementation. The companies announced today represent an initial group of participants pledging to support community engagement and related Medicaid system improvements. CMS expects this effort to evolve over time and will continue working with states and industry to support successful implementation.

For more information, please view the fact sheet at cms.gov/newsroom/fact-sheets/fact-sheet-pledges-medicaid-technology-companies-support-community-engagement-implementation-related and visit: medicaid.gov/medicaidreforms .

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CMS - Centers for Medicare & Medicaid Services published this content on January 29, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on January 29, 2026 at 15:04 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]