Massachusetts ends plans to partner with not-for profit to simplify Medicaid application process

Massachusetts will not be working with RealBenefits, a not-for-profit subsidiary of Community Catalyst that sells computer software to not-for-profit groups to make data input faster, to simplify the Medicaid application process, the Boston Globe reports.

For several years, the company and Massachusetts have been in negotiations to link the company's computers to Virtual Gateway, the state network that handles benefit applications.

RealBenefits sells software that matches applicants with applicable benefits, then makes copies of documents and application forms, and faxes or mails them to the state.

The company already has signed up 55,000 households for other state programs, the Globe reports.

Officials in the Gov. Mitt Romney (R) administration decided that the collaboration would be unnecessary, noting that Virtual Gateway is effective on its own.

In addition, it would cost about $200,000 annually to maintain the partnership.

State officials also cited security and the "integrity of personal financial data," as concerns for not completing the deal, the Globe reports.

They also raised concerns about the potential for miscommunications between the systems that could result in mistakes.

Proponents of the plan said Massachusetts is missing out on a way to enroll more of the 700,000 uninsured state residents in Medicaid (Rowland, Boston Globe, 8/24).