Today, the Centers for Medicare & Medicaid Services (CMS) issued a letter to State Medicaid Directors announcing a new opportunity for states to help increase care for individuals who are incarcerated in the period immediately prior to their release. The new Medicaid Reentry Section 1115 Demonstration Opportunity will allow state Medicaid programs to cover a package of pre-release services for up to 90 days prior to the individual’s expected release date that address various health concerns, including substance use disorders and other chronic health conditions.

This letter is being issued in accordance with section 5032(b) of the Substance Use-Disorder Prevention that Promotes Opioid Recovery and Treatment for Patients and Communities Act (SUPPORT Act), and encourages states to implement an innovative service delivery system to facilitate successful reentry transitions for Medicaid-eligible individuals leaving prisons and jails and returning to the community. The letter also provides guidance to interested states about development and submission of the associated section 1115 demonstration application.