Kansas becomes second state to reject HHS' IT award

Kansas Gov. Sam Brownback and Lt. Gov. Jeff Colyer, MD, have announced that the State of Kansas is returning its Early Innovator Grant distributed by the U.S. Department of Health and Human Services (HHS) in February for early implementation of portions of the Patient Protection and Affordable Care Act (PPACA).

HHS Kansas, Maryland, New York, Oklahoma, Oregon, Wisconsin and a multi-state consortium led by the University of Massachusetts Medical School received a total of approximately $241 million in Early Innovator Grants to design and implement the IT infrastructure needed to operate health insurance exchanges.

"There is much uncertainty surrounding the ability of the federal government to meet its already budgeted future spending obligations. Every state should be preparing for fewer federal resources, not more. To deal with that reality Kansas needs to maintain maximum flexibility. That requires freeing Kansas from the strings attached to the Early Innovator Grant," said Brownback.

“Federal Medicaid mandates have cost Kansans over $400 million in the past two years alone. Full implementation of the mandates in the President’s healthcare law would cost billions more,” said Colyer. “We will work to find innovative Kansas-based solutions to Kansas challenges and be very selective in the federal funds the state applies for and receives."

Following Oklahoma’s decision in April to opt out, Kansas is now the second state to opt out of Early Innovator Grant funding.