Massachusetts Medicaid director Daniel Tsai has been named Director of CMS’s Center for Medicaid and CHIP Services.

CMS Taps Massachusetts Medicaid Director to Run Key Post Impacting 340B Program

The U.S. Centers for Medicare & Medicaid Services (CMS) announced on Monday that Massachusetts’ Medicaid director Daniel Tsai has been named Deputy Administrator of CMS and Director of CMS’s Center for Medicaid and CHIP Services (CMCS). A record 80 million people are receiving health coverage through Medicaid and the Children’s Health Insurance Program (CHIP).

Tsai will begin his new job on July 6. Although the U.S. Health Resources and Services Administration (HRSA) runs the 340B program, CMCS plays a key role in 340B policy. In January 2020, for example, it issued guidelines for states for avoiding duplicate Medicaid rebates and 340B discounts on the same drugs. CMCS’s recommended “best practices” included state limits on covered entities and contract pharmacies’ ability to use 340B purchased drugs for Medicaid beneficiaries. 340B provider organizations expressed concerns with certain elements of the guidelines. “Allowing such an opt-out would undermine the very purpose of 340B and potentially damage safety-net hospitals’ ability to care for patients with low incomes,” hospital group 340B Health said.

The U.S. Centers for Medicare & Medicaid Services (CMS) announced on Monday that Massachusetts’ Medicaid director Daniel Tsai has been named Deputy Administrator of CMS and Director of CMS’s Center for Medicaid and CHIP Services (CMCS).

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