Virginia lawmakers are advancing legislation aimed at modernizing the technological infrastructure supporting the state’s administration of key federal benefit programs. House Bill 66, introduced in the 2026 session of the Virginia House of Delegates, directs the Department of Social Services and the Department of Medical Assistance Services to engage a third-party vendor to conduct a comprehensive study and develop a detailed plan for updating the systems used to deliver services under programs such as the Supplemental Nutrition Assistance Program and Medicaid.
The need for such modernization stems from the limitations of the existing Virginia Case Management System, which was originally developed in the 1990s. This aging platform has been shown through a 2024 state-commissioned study to experience significant performance issues. Specifically, the system encounters delays or complete timeouts when more than a small number of social services workers attempt to process cases at the same time. Given that eligibility determinations are handled by hundreds of local social services workers across the Commonwealth, these constraints frequently disrupt daily operations.
Furthermore, the poor user experience associated with the current technology has led many staff members to adopt informal workarounds. These ad hoc methods contribute to greater variability in how processes are carried out and elevate the overall risk of errors in benefit administration. The Virginia League of Social Services Executives has voiced significant concerns about these system constraints in recent feedback sessions.
Compounding these technical challenges are new federal requirements stemming from legislation passed by Congress last summer. The reconciliation bill includes provisions that require states to reduce their Supplemental Nutrition Assistance Program error rates to avoid penalties that could result in the loss of federal funding. It also mandates enhanced verification of recipient eligibility for both SNAP and Medicaid benefits. These changes are expected to substantially increase the administrative workload for state and local agencies.
Virginia serves approximately 850,000 residents through the SNAP program and provides Medicaid coverage to about 1.9 million individuals, encompassing those with disabilities, pregnant women, and low-income families without employer-sponsored insurance. In addition, changes to Medicaid eligibility are anticipated to affect around 630,000 Virginians who may face adjustments in their coverage status. Preparing for these federal mandates requires systems that can handle increased volume and complexity in eligibility reviews without compromising accuracy.
House Bill 66 addresses these issues by requiring the two departments to contract with an independent vendor. The vendor would analyze the current technological setup and formulate a strategic plan for modernization. This plan must encompass recommendations for improving system performance, scalability, user interface, and integration with other state systems. Upon completion, the departments are to include the plan in a formal report to be submitted to the Governor and the General Assembly.
Delegate Michael Feggans, the chief patron of the bill, has highlighted the importance of this initiative based on input received from constituents and stakeholders. Having previously worked in health care technology during his service with the U.S. Air Force, Feggans has advocated for strategic investments in information technology to overcome the hurdles posed by outdated infrastructure. The legislation emerged from discussions on a bipartisan committee tasked with evaluating Virginia’s responses to recent federal policy adjustments.
The bill has progressed through the legislative process, receiving a positive recommendation from the House Appropriations Committee with a vote of 19 to 0. A fiscal impact analysis projects initial expenditures of approximately $318,000 for the Department of Social Services in the upcoming fiscal year to support the study and planning efforts. Following its passage in the House, the measure has moved to the Senate for further review, where it continues to be considered as part of the 2026 legislative agenda.
By facilitating a professional assessment and planning process, the bill seeks to position Virginia to more effectively comply with federal standards for program integrity. Lowering error rates in SNAP administration not only preserves funding but also ensures that resources are directed toward those who qualify. Enhanced technological capabilities would support more reliable verification procedures, reducing the likelihood of improper payments or denials due to system limitations.
The modernization plan developed under this legislation would outline specific steps, timelines, and estimated costs for transitioning to updated systems. This methodical approach allows for informed decision-making regarding any subsequent funding requests or implementation phases. In the interim, the study phase will provide critical data on how to mitigate current bottlenecks and improve overall service delivery for benefit recipients.
Social services staff across the state have long managed substantial caseloads, and the impending federal changes amplify the demands on these systems. Without upgrades, the combination of outdated technology and heightened verification requirements could lead to processing delays, increased administrative burdens, and potential shortfalls in meeting federal benchmarks. The proposed vendor-led study aims to identify targeted solutions that enhance efficiency while maintaining the accuracy essential for responsible program management.
As Virginia navigates the intersection of state operations and federal policy directives, this bill represents a proactive step toward ensuring that administrative tools keep pace with evolving requirements. The focus on third-party expertise brings an objective perspective to evaluating the technological needs of the Department of Social Services and the Department of Medical Assistance Services.
Lawmakers will continue to deliberate on the measure, weighing its potential to streamline operations against the associated planning costs. The resulting report and plan could inform future sessions’ discussions on broader investments in government technology infrastructure. This legislative action underscores the ongoing efforts to adapt state systems to national priorities in benefit program administration.
The federal shifts have placed particular emphasis on accountability measures, including real-time eligibility checks and data cross-referencing to ensure program compliance. Virginia’s current systems, limited by their age and design, are ill-equipped to support these advanced functions seamlessly. The third-party study mandated by House Bill 66 will examine options for incorporating modern features such as automated workflows, enhanced security protocols, and improved data analytics capabilities.
Stakeholders in the social services sector anticipate that successful modernization could lead to faster application processing times and more consistent outcomes across different local offices. This uniformity is crucial for equitable treatment of applicants statewide. The legislation also provides an opportunity to incorporate lessons from other states that have successfully updated their benefit administration platforms.
Delegate Michael Feggans has indicated a willingness to collaborate with colleagues to refine the bill’s details, including assessments of implementation costs and timelines. Such collaborative efforts are essential for developing a viable roadmap that balances technological advancement with fiscal considerations.
In summary, House Bill 66 represents a targeted response to the dual challenges of aging technology and increasing federal oversight in social services. By authorizing a detailed study and planning process, it lays the groundwork for improvements that could enhance the Commonwealth’s ability to administer benefits effectively and responsibly in the years ahead. The emphasis on reducing error rates and improving eligibility verification supports the goal of maintaining program integrity while managing resources prudently.
