Health Care Financing Administration

Health Care Financing Administration (HCFA) was an agency in the United States Department of Health and Human Services responsible for administering the nation's major healthcare programs. It was established in 1977 to combine under one authority the administration of Medicare, Medicaid, and the Children's Health Insurance Program (CHIP).

History

The HCFA was created in 1977 when the Department of Health, Education, and Welfare (HEW) reorganized. This reorganization resulted in the separation of the financing and delivery of health care services, with the HCFA taking over the financing role. The agency was responsible for the administration of Medicare and Medicaid, as well as the newly created CHIP.

Functions

The primary function of the HCFA was to manage the Medicare and Medicaid programs. This included determining eligibility, setting standards and regulations, and ensuring that the programs were run efficiently and effectively. The agency also had a role in health policy development and worked to improve the quality of health care services.

Reorganization and Renaming

In 2001, the HCFA was reorganized and renamed the Centers for Medicare and Medicaid Services (CMS). This change was made to reflect the agency's increased focus on improving the quality of health care services, in addition to its traditional role of financing health care.

Impact

The HCFA, and its successor the CMS, have had a significant impact on health care in the United States. Through the administration of Medicare and Medicaid, the agency has provided health care coverage to millions of Americans. Additionally, the agency's role in health policy development has influenced the direction of health care reform in the country.

See also

• Medicare
• Medicaid
• CHIP
• United States Department of Health and Human Services
• CMS

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