29-I FFS Rate Extension Announcement

Notification Regarding Payment for 29-I Voluntary Foster Care Agency (VFCA) Health Facility Core Limited Health-Related Services (CLHRS) and Other Limited Health-Related Services (OLHRS)

To: Medicaid Managed Care Plans (MMCPs), including Mainstream Medicaid Managed Care and HIV Special Needs Plans (SNP) and 29-I VFCA Health Facilities

DATE: September 16, 2026

Pursuant to the Transition of Children Placed in Foster Care and 29-I Health Facilities into Medicaid Managed Care policy paper, New York State (NYS) requires that MMCPs pay government rates (otherwise known as Medicaid fee-for-service (FFS) rates) for CLHRS and OLHRS provided by 29-I VFCA Health Facilities. These 29-I VFCA Health Facilities were being reimbursed for Article 29-I CLHRS and OLHRS at the Medicaid FFS rate for an established four-year transition period from July 1, 2021, through June 30, 2025. NYS then extended the deadline required for MMCPs to pay government rates for these CLHRS and OLHRS provided by Article 29-I VFCA Health Facilities for an additional two (2) years through June 30, 2027.

NYS has again extended the deadline required for MMCPs to pay government rates for CLHRS and OLHRS provided by Article 29-I VFCA Health Facilities for an additional two (2) years.

MMCPs may continue to submit non-risk claims for CLHRS to NYS at this time. This additional two-year period covers dates of service through June 30, 2029.

Questions on this can be sent to BH.Transition@health.ny.gov.