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New Medicaid applicants express frustration with enrollment system

South Dakota Department of Social Service's Sioux Falls office
Josh Chilson
/
SDPB
South Dakota Department of Social Service's Sioux Falls office

After decades of use, the South Dakota Department of Social Services unveiled a new Medicaid enrollment system.

Officials say the system allows for more automation and creates a portal for applicants to log in to. But some who tried using the system have expressed frustration.

That includes people like Anna. She shuffles between eight different letters she’s received from the state Department of Social Services. One of those is a termination letter she received in early May saying her Medicaid application was denied.

“So, that crushed my spirits at the time," Anna said.

The very next day, she received a letter requesting more information for her application. The Rapid City resident is in her early 20s. She’d been applying for Medicaid coverage since mid-April.

Anna started her application on the state Department of Social Services website. But she says when she reached what seemed like the end of the application, she was unsure if she successfully applied.

“There’s no like, ‘okay your application has been submitted,’ or anything like that. There’s no confirmation, so I didn’t know," Anna added. "So, I wanted to make sure it had gone through, and I hadn’t heard anything.”

So she applied again. Unknown to her, she now had two pending Medicaid applications.

“I was getting letters and updates for multiple applications, but I had no idea," Anna added.

Anna said she gets a letter from DSS about every two to three weeks — all related to the multiple applications she’d submitted. She said she went to the Social Services office in Rapid City and met with a case worker.

“I’ve been in there so many times. I’ve gone on their website so many times. It’s like, why can’t I do this all at the same time, you know?" Anna said.

Anna said she worries the frustration she experienced signing up for Medicaid would discourage others who qualify from signing up for health coverage.

A month prior to Anna’s Medicaid odyssey, the state Department of Social Services launched its new benefits enrollment system—called BEES—on March 4.

After decades of use, the South Dakota Department of Social Services unveiled a new Medicaid enrollment system, replacing a 40-year-old program.

Officials say the system allows for more automation and creates a portal for applicants to log in to.

In June 2020, DSS contracted with Redmane Technologies to construct BEES. Contracts with the Chicago-based company have cost the state about $96.5 million.

According to DSS officials, in May of 2024, the average processing time for applications was 21 days—less than half of what the feds allow for.

But some say the wait time for approval is taking much longer.

“I have an individual who I helped him get Medicaid. That was two months ago. They’re still waiting for a determination," said Travis Johnson—a health insurance navigator for the Great Plains Tribal Leaders Health Board. He assists individuals who are applying for Medicaid.

“They were told by the DSS office they have to wait because they’re backlogged. To me, that’s completely unacceptable," Johnson added.

He said he uses the paper Medicaid application because he says the online BEES application feels incomplete.

“It’s not user friendly for anyone. Whatever the driving force behind this design was… it’s not working.”

DSS Secretary Althoff said in a statement BEES has experienced some software programming issues, but says the department is dedicated to responding to them. He said that’s typical for any IT project of this scope.

"Most of these issues have already been resolved, and the team has a plan in place for resolving all other issues identified to-date," Althoff said.

In the meantime, Althoff said staff members are available to assist applicants and enrollees either in person or over the phone.

In a follow up conversation with Anna she said — after weeks of not hearing from DSS — she found out by calling the department that she now has Medicaid coverage.

Lee Strubinger is SDPB’s Rapid City-based politics and public policy reporter. Lee is a two-time national Edward R. Murrow Award winning reporter. He holds a master’s in public affairs reporting from the University of Illinois-Springfield.