With more than 512,000 Medicaid members and over 95,000 enrolled providers, the state’s Medicaid program plays a vital role in the health and well-being of West Virginians. The shift to a cloud-native MMIS represents a foundational investment in long-term sustainability, regulatory readiness, and efficient service delivery.
Project Overview
The West Virginia MMIS modernization project focused on replacing the state’s outdated, monolithic infrastructure with a modular, standards-based system designed for flexibility, scalability, and interoperability. The Gainwell CEF solution, deployed on AWS, now powers the state’s core Medicaid business functions, including:
- Claims processing
- Member eligibility and enrollment
- Provider enrollment and management
- Financial transactions and reporting
Challenges Addressed: Legacy Burdens and Operational Limitations
Before modernization, West Virginia’s Medicaid system suffered from the typical constraints of legacy MMIS platforms:
- Rigid architecture: The highly customized monolithic system was difficult to maintain and required significant time and cost to modify, even for minor policy adjustments.
- Compliance risks: The system struggled to keep pace with evolving federal regulations from the Centers for Medicare & Medicaid Services (CMS), threatening compliance.
- Lack of modularity: West Virginia couldn’t leverage best practices or modular components from other state implementations due to its bespoke, tightly coupled design.
- Operational inefficiencies: Manual processes and system fragmentation made it difficult to scale and introduced bottlenecks that impacted providers and members.
Results: Scalable Performance, Fiscal Efficiency, and Provider Satisfaction
The AWS-powered Gainwell CEF solution has delivered remarkable performance and tangible business impact for West Virginia:
- High throughput with reliability: In fiscal year 2024 alone, the system processed more than 36 million individual Medicaid claims, managed $5.7 billion in Medicaid fee-for-service payments, and executed $2 billion in capitation payments — plus an additional $52 million for the Children’s Health Insurance Program (CHIP).
- Minimal disruption, high stability: Transitioning to the new platform caused minimal disruption for providers, as evidenced by low complaint volumes and consistent payment timelines.
- Strong return on investment: With an implementation cost of $30 million, the system is already delivering an estimated tenfold return on investment, driven by improved operational efficiency and reduced system maintenance overhead.
- Future-proofed architecture: The modular design enables DoHS to quickly adopt new functionalities, respond to federal updates, and scale services without the delays and expenses of custom legacy modifications.