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ArchitectureGovernment12 min read · 2026-05-21

Benefits Delivery System Modernization: SNAP, Medicaid, and the Federal Funding Structure

90/10
Federal/state funding split for Medicaid MMIS modernization qualifying under CMS Seven Standards and Conditions
Federal funding for state benefits system modernization is substantial — 90% federal / 10% state match for Medicaid MMIS replacements qualifying under the CMS Seven Standards and Conditions, and up to 50% enhanced match for SNAP system modernization under the FNS Enhanced Funding framework (7 CFR Part 277). These funding structures come with architectural requirements, not just compliance documentation requirements. The modular architecture that CMS now mandates — replacing monolithic MMIS with discrete, independently certifiable modules communicating through open APIs — requires a specific API design, interoperability standards, and governance model that most state IT shops have never implemented.

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