Industry representatives and public-health advocates testified in favor of H1392/S853, bills to increase the administrative reimbursement MassHealth provides to providers for administering vaccines, saying higher fees would encourage providers to deliver vaccines and improve coverage among Medicaid enrollees.

Jim DeMay of CSL Securus, a biotechnology company with a research facility in Waltham, told the committee Medicaid's 2012 administrative fee ($20.45) lags behind Medicare and the federal regional maximum and is out-of-step with private insurance. "Medicare Part B provides $30 administrative fee for a flu or a COVID shot," DeMay said, and cited CDC data showing low influenza uptake among Medicaid beneficiaries compared with Medicare.

Katie Blair of Massachusetts Families for Vaccines argued low reimbursement and administrative burden have prompted providers to stop offering vaccinations to Medicaid patients, creating inequities in access. "We are losing vaccinators as providers choose not to participate in vaccination programs because of the administrative burden and low reimbursement rates," she said.

Witnesses said the federal government will pay 50% of any increase to the administrative fee up to the regional maximum, reducing state fiscal exposure. Supporters argued higher reimbursement is an investment that will reduce preventable disease and downstream health-care costs.

Why it matters: Witnesses framed the change as a pragmatic, evidence-backed tactic to raise vaccination rates in populations with low uptake and to keep providers participating in immunization programs.

Next steps: Proponents asked the committee to advance the bills and noted prior-year Medicaid reimbursement lags as the primary obstacle. The committee did not vote at the hearing.

Ending: Supporters said increasing the administrative fee is a targeted tool to preserve vaccinators and improve preventive care among MassHealth enrollees.