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County approves performance-based Medicaid incentive contract intended to fund service improvements

July 15, 2025 | Pueblo County, Colorado


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County approves performance-based Medicaid incentive contract intended to fund service improvements
Pueblo County commissioners on July 15 approved an intergovernmental agreement between Pueblo County Department of Human Services and the Colorado Department of Health Care Policy and Financing (HCPF) that establishes performance‑based targets for county Medicaid administration and creates the potential for incentive payments.

Karen Garcia, deputy director for Adult Services and Assistance Payments, told the board the contract sets three performance targets: performance compliance (accuracy and timeliness), customer service, and county collaboration. Each target includes multiple benchmarks; meeting all benchmarks for a target yields a percentage of available funds: up to 50% for performance compliance, up to 30% for customer service and up to 20% for collaboration.

Garcia said the county can earn a little over $500,000 in incentives for the July 1–June 30 contract year if it meets the benchmarks. She noted the county earned roughly $529,000 under the prior contract year after meeting the benchmarks and expects to pursue the same result this year.

When asked whether the agreement carries any downside, Garcia said there are no penalties — the county simply would not receive incentive payments if benchmarks are not met.

Commissioners moved and seconded approval of the resolution; the board voted by voice and the chair declared the motion passed.

Garcia said the goal of the program is "to improve accuracy, timeliness, and customer service" in county administration of medical assistance eligibility and related functions.

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