DHS Announces Innovative Medicaid Housing Benefit

DHS Announces Innovative Medicaid Housing Benefit

Starting February 1, 2025, Wisconsin will launch a new initiative to provide housing support services to Wisconsin Medicaid members experiencing housing insecurity who are also affected by substance use or mental health conditions. Wisconsin is one of the first states in the country to use housing solutions funded through Medicaid to achieve improved health outcomes for members.

"This new program offers a support system grounded in the stability, dignity, and well-being that secure housing can provide," said Wisconsin Department of Health Services (DHS) Secretary-designee Kirsten Johnson. "For people who are struggling with substance use or mental health challenges, having a place they can call home can significantly improve their overall health and quality of life."

To use this new benefit, Wisconsin Medicaid members must be at least 18 years old, experiencing or be at risk of homelessness, have a substance use or mental health condition, and meet specific income thresholds. The services available will help them:

• Develop a plan to get housing and take initial steps, like obtaining service referrals.
• Get help finding housing, working with landlords, getting safety inspections, and connecting to community resources.
• Understand renter and landlord responsibilities, develop skills that help them be a good tenant, and make plans to reduce the risk of eviction.
• Cover initial setup expenses, like security deposits, pest control, and utility activation.

The benefit does not cover rent or ongoing expenses but does provide ongoing assistance and counseling.

The services under this benefit will be provided by organizations that are affiliated with a Tribal nation or are part of the Continuum of Care Program in Wisconsin. The program brings together agencies that coordinate to assist individuals and families experiencing homelessness by providing the services needed to help them move into transitional and permanent housing, with the goal of long-term stability. Providers offering services under this benefit must be enrolled with Wisconsin Medicaid.

"People experiencing homelessness often rely on hospital emergency departments for care and may find it difficult to follow a doctors' instructions to manage their medical and behavioral health conditions," said Medicaid Director Bill Hanna. "It's hard to plan to take your medicine at bedtime when you don't know where you're going to sleep at night. Assisting members in getting and keeping stable housing is an investment in the long-term success of their health care."

DHS was directed to create this benefit by the state legislature under 2019 Wisconsin Act 76. The Centers for Medicare & Medicaid Services notified Wisconsin in November that the benefit was approved.

Find more information about this housing benefit on the DHS website.