MedicaidCoverageMedium impact
MSA 20-63
Michigan Medicaid - MDHHS·MI · Geriatrics, Family Medicine, Internal Medicine·Provider Bulletin
Effective date
Apr 1, 2021
We identified it
Jun 20, 2026
Summary
Starting April 1, 2021, the Michigan PACE program will apply Medicaid divestment policy to all new applicants and existing participants who transfer resources for less than fair market value. This means Medicaid will not pay for long-term care services during divestment penalty periods for PACE participants.
Action Required
By April 1, 2021: Billing staff must verify PACE participant eligibility status before submitting claims for long-term care services, home and community-based services, home help, or home health. Add divestment penalty period checks to PACE patient verification workflow. Claims for these services will be denied during divestment penalty periods.