Concerning the medicaid deprivatization act.

 S-3684.1

SENATE BILL 5955

State of Washington

69th Legislature

2026 Regular Session

By Senator Hasegawa

Prefiled 12/29/25.

AN ACT Relating to the medicaid deprivatization act; and adding a new chapter to Title 74 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. (1) The legislature finds that the administration of medicaid through managed care organizations has resulted in excessive administrative costs, reduced transparency in financial and clinical decision making, and barriers to timely access to medically necessary care. These outcomes have disproportionately impacted Native American communities, rural residents, individuals with complex health needs, and those navigating behavioral health and disability services.

(2) The legislature further finds that a managed fee-for-service model, in which providers are paid directly by the state and care coordination is funded separately, will promote transparency, accountability, and equity. This model will reduce administrative overhead, restore public ownership of medicaid data, and ensure that care decisions are made in the best interest of patients rather than corporate shareholders.