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Section 1135 Waiver Flexibilities - Maryland Coronavirus Disease 2019 (Third Request)

Department of Health & Human Services
Centers for Medicare & Medicaid Services
7500 Security Boulevard, Mail Stop S2-26-12
Baltimore, Maryland 21244-1850

July 31, 2020

Tricia Roddy
Director, Innovation, Research and Development
Health Care Financing
Maryland Department of Health
201 West Preston Street
Baltimore, Maryland 21201

Re:  Section 1135 Flexibilities Requested in July 30, 2020 Communication (Third Request)

Dear Ms. Roddy:

The Centers for Medicare & Medicaid Services (CMS) granted an initial approval to the State of Maryland for multiple section 1135 flexibilities on March 26, 2020 and May 6, 2020.  Your follow-up communication to CMS on July 30, 2020, detailed a number of additional federal requirements that also pose issues or challenges for the health care delivery system in Maryland and requested a waiver or modification of those additional requirements.  Attached, please find a response to your requests for waivers or modifications, pursuant to section 1135 of the Social Security Act (Act), to address the challenges posed by COVID-19.  This approval addresses those requests related to Medicaid. To the extent the requirements the state requested to waive or modify apply to CHIP, the state may apply the approved flexibilities to CHIP.  This applies to the waivers included below, as well as the 1135 waivers granted to the state on March 26, 2020, and May 6, 2020.

On March 13, 2020, the President of the United States issued a proclamation that the COVID-19 outbreak in the United States constitutes a national emergency by the authorities vested in him by the Constitution and the laws of the United States, including sections 201 and 301 of the National Emergencies Act (50 U.S.C. 1601 et seq.), and consistent with section 1135 of the Act.  On March 13, 2020, pursuant to section 1135(b) of the Act, the Secretary of the United States Department of Health and Human Services invoked his authority to waive or modify certain requirements of titles XVIII, XIX, and XXI of the Act as a result of the consequences of the COVID-19 pandemic, to the extent necessary, as determined by CMS, to ensure that sufficient health care items and services are available to meet the needs of individuals enrolled in the respective programs and to ensure that health care providers that furnish such items and services in good faith, but are unable to comply with one or more of such requirements as a result of the COVID-19 pandemic, may be reimbursed for such items and services and exempted from sanctions for such noncompliance, absent any determination of fraud or abuse. This authority took effect as of 6PM Eastern Standard Time on March 15, 2020, with a retroactive effective date of March 1, 2020.  The emergency period will terminate, and section 1135 waivers will no longer be available, upon termination of the public health emergency, including any extensions.

To streamline the section 1135 waiver request and approval process, CMS has issued a number of blanket waivers for many Medicare provisions, which primarily affect requirements for individual facilities, such as hospitals, long term care facilities, home health agencies, and so on.  Waiver or modification of these provisions does not require individualized approval, and, therefore, these authorities are not addressed in this letter.  Please refer to the current blanket waiver issued by CMS.

Please contact Jackie Glaze, Deputy Director, Medicaid and CHIP Operations Group, at (404) 387-0121 or by email at Jackie.Glaze@cms.hhs.gov if you have any questions or need additional information.  We appreciate the efforts of you and your staff in responding to the needs of the residents of the State of Maryland and the health care community.

Sincerely,

Calder Lynch
Deputy Administrator and Director

STATE OF MARYLAND
APPROVAL OF FEDERAL SECTION 1135 WAIVER REQUESTS

CMS Response: July 31, 2020

To the extent applicable, the following waivers and modifications also apply to CHIP.

Targeted Case Management Timeline for Monitoring and Follow-up Activities

Pursuant to section 1135(b)(5) of the Act, CMS approves a waiver allowing the state to modify the deadline for conducting an annual monitoring visit, as described in 42 CFR 440.169(d)(4).  With this waiver, the timeframe for completion of the annual monitoring activity may be postponed up to one year.

Duration of Approved Waivers

Unless otherwise specified above, the section 1135 waivers described herein are effective March 1, 2020 and will terminate upon termination of the public health emergency, including any extensions. In no case will any of these waivers extend past the last day of the public health emergency (or any extension thereof).

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