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Alaska Health Department outlines Medicaid rate review, demonstration projects and system modernization
Summary
The Department of Health told the Senate Health & Social Services Committee it is reviewing Medicaid payment methods, pursuing federal demonstrations, and modernizing claims and enrollment systems to improve access and program stability.
Commissioner Heidi Hedberg and Deputy Commissioner Emily Ricci told the Senate Health and Social Services Committee on Jan. 23 that the Department of Health is pursuing a multi-pronged effort to modernize Medicaid payment and operations.
The department has launched a Medicaid rate methodology review — focused first on behavioral health, long‑term care, federally qualified health centers and medical transportation — with recommendations due in July 2025, Ricci said. The study will examine (1) what cost elements go into rates, (2) whether rates cover providers’ costs, and (3) the policies that govern payment (for example, billing increments versus monthly or capitated payments). Ricci said the process includes provider and stakeholder engagement.
Nut graf: The review is part of…
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