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State Progress in Providing Pre-Release Targeted Case Management (TCM) and EPSDT Services to Incarcerated Youth

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State Progress in Providing Pre-Release Targeted Case Management (TCM) and EPSDT Services to Incarcerated Youth 

Since the beginning of 2025, states have been required to ensure that eligible juveniles who are within 30 days of release from incarceration receive the following services: 

This article provides an update on states’ progress to provide TCM and EPSDT services pre-release and an overview of the additional steps states must take in order to continue providing the services pre- and post-release to incarcerated youth. 

To date, 26 states have submitted and received approval of State Plan Amendments (SPAs) authorizing the provision of TCM services. However, 16 of these approvals are timelimited through December 31, 2026. For those states, CMS has identified specific implementation actions that must be completed in order to fully operationalize mandatory coverage. States must complete these actions by the end of 2026 to maintain ongoing authority under their State Plans.  

Standardizing Eligibility, Enrollment, and Coverage Continuity 

CMS is requiring several states to work toward standardized, system-supported Medicaid eligibility and enrollment processes within carceral settings, including preventing termination during incarceration, supporting coverage suspension and reactivation, and ensuring pre-release eligibility determination. Operationally, these states are implementing bi-directional data sharing, allowing Medicaid agencies to receive incarceration and release information in real time. States are also updating eligibility and claims systems so coverage includes authorized pre-release services only and developing special processes to identify former foster youth up to age 26. 

Stakeholder Engagement and Cross-Agency Coordination 

CMS is also requiring states to facilitate better coordination across Medicaid agencies, corrections, juvenile justice, courts, and providers. Such work includes standing up regular stakeholder meetings or workgroups, conducting interagency planning and gap analyses, synchronizing across courts, probation, child welfare, and behavioral health agencies, and ongoing outreach to county-run facilities to assess interest and feasibility.  

Provider Enrollment, New Provider Types, and Facility Onboarding 

Other states are required to support creation of new Medicaid provider types or enrollment pathways so carceral facilities, and in some cases juvenile justice agencies, can legally deliver and bill for TCM services. This includes creating “correctional facility” or “section 5121 specialty” provider types, enrolling juvenile justice agencies or state corrections entities as Medicaid providers, providing technical assistance and enrollment guidance, and using phased onboarding based on facility readiness.  

Data Sharing, Systems, and Technology Integration 

Many states need to build or enhance IT infrastructure to support eligibility, service tracking, billing, and coordination across entities. States are executing data use agreements (DUAs) or memoranda of understanding (MOUs) between Medicaid and corrections, building automated incarceration and release notification systems, updating Medicaid Management Information Systems (MMIS) and eligibility systems to restrict services to authorized periods, enhancing interfaces with MCOs and correctional IT systems, and exploring or implementing electronic medical records (EMRs) in juvenile justice settings. 

Billing, Claiming, and Provider Guidance 

Several states are still in the process of making billing operationally feasible for entities that have not historically billed Medicaid while also ensuring compliance with federal rules, including developing billing guides and provider manuals and configuring MMIS to limit claims to allowable services and timeframes. To support this process, some states are providing hands-on technical assistance to facilities with limited billing capacity and piloting informal billing processes before scaling.  

Training, Technical Assistance, and Educational Materials 

Some states are supporting implementation through continuous training and education, developing training modules and recorded materials and training correctional, Medicaid, and provider staff on eligibility, billing, and services. States are also offering continuous technical assistance post-service launch and producing public-facing educational materials for beneficiaries and families. 

Readiness, Feasibility, and Phased Implementation  

Most states are still in the process of supporting incremental, readiness-driven implementation by conducting readiness and feasibility assessments, categorizing facilities as ready, ready with remediation, or not ready. Some states are also documenting non-participation or incapacity to participate, while others are using pilots and early adopters to inform statewide expansion.  

Once states complete all actions required by CMS, they must submit an additional SPA acknowledging compliance with Section 5121 of the Consolidated Appropriations Act in order to remove the sunset date. Wyoming recently did just that, receiving approval from CMS in February 2026.  

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