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January 22 2026 LOCD Passive Redeterminations Paused

January 22, 2026: Nursing Facility and MI Coordinated Health Providers: This notification is an update to the previously issued alert posted on December 10, 2025, advising the LOCD Passive Redetermination process would be reinstated. Due to issues found during implementation, passive redeterminations generated from the MDS 3.0 assessment are now on hold. No LOCD passive redetermination records will be generated by the MDS 3.0 assessment until further notice. MDHHS will notify providers when the issues have been corrected.

For additional information on LOCD Passive Redeterminations, reference the resources available:

  • Visit the Medicaid Provider Alerts & Resources Institutional Providers section, scroll down to the Skilled Nursing Facility section.
  • The Medicaid Provider Manual, Chapter: Nursing Facility Level of Care Determination, Section(s):
    • 3.8 Passive Redetermination of Functional Eligibility.
    • 3.8.A. LOCD Doors Addressed by Passive Assessment
    • 3.8.B. Passive Redetermination Process
    • 3.8.C. Passive Redetermination Decisions
    • 3.8.D. Need to Conduct a New LOCD