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CMS centralizes health tech authority in new office covering AI, interoperability, and claims modernization

The Centers for Medicare & Medicaid Services (CMS) has established a new Office of Health Technology and Products. This office assumes over 90 responsibilities to lead federal health IT strategy, focusing on areas like AI, interoperability, and claims modernization.

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By MarketScale Newsroom · CmsHealth TechnologyInteroperabilityAi in Healthcare
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CMS centralizes health tech authority in new office covering AI, interoperability, and claims modernization

Key takeaways

01

CMS's new office centralizes health tech authority, focusing on AI and interoperability.

02

The office takes on over 90 responsibilities to modernize claims processes.

03

CMS aims to lead federal health IT strategy with its new dedicated office.

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CMS published a four-page Federal Register notice on June 11 establishing the Office of Health Technology and Products, an eight-division unit that lists more than 90 specific responsibilities spanning AI strategy, interoperability, claims system modernization, Medicare.gov, and provider directories. The breadth of the mandate is notable: a single federal office now holds enterprise leadership over the digital infrastructure touching every Medicare, Medicaid, and CHIP program in the country.

Amy Gleason will lead the office as deputy administrator and chief product officer, according to Healthcare Dive. Gleason previously served as a strategic advisor to CMS and has been the driving force behind the agency's Health Tech Ecosystem initiative, which aims to accelerate data sharing and digital health adoption across federal programs.

A structural shift, not just an org chart change

The creation of OHTP is the downstream consequence of a broader HHS reorganization that began in March. At that point, HHS narrowed ONC's scope by reversing a Biden-era technology reorganization, returning the office to its original name and concentrating it on health IT policy, standards, and certification, according to Fierce Healthcare. Three HHS-wide technology roles, chief technology officer, chief AI officer, and chief data officer, moved back under the HHS Chief Information Officer's leadership as part of that revamp.

With ONC's footprint reduced, CMS is now positioned as the primary federal driver of health IT execution. The new office works in close coordination with the CMS CIO and carries statutory responsibility for enterprise IT modernization, cybersecurity, and data operations across the agency's programs, according to the Federal Register notice cited by Fierce Healthcare.

When a federal agency publishes four pages and 90-plus responsibilities in the Federal Register for a single new office, that is a procurement signal, not just an administrative footnote.

Jodi Daniel, a former director of ONC's office of policy, called the move significant in a public LinkedIn post cited by Fierce Healthcare. Daniel noted that while organizational changes are sometimes purely administrative, the sheer volume of listed responsibilities, nearly 100 across four Federal Register pages, indicates a substantial reallocation of federal health IT authority.

What OHTP's mandate covers operationally

For health systems, payers, and health IT vendors, the practical scope of OHTP is wide. The office leads enterprise AI strategy and implementation, manages interoperability standards and data exchange, oversees digital product development for CMS-administered programs, and owns claims system modernization. It also holds responsibility for Medicare.gov and federal provider directories, according to the Federal Register notice.

That portfolio means vendor contracts, interoperability certification pathways, and AI governance frameworks for any system touching Medicare or Medicaid data will increasingly be shaped by OHTP's priorities rather than ONC's. For procurement and compliance teams evaluating health IT platforms or AI tools for revenue cycle and clinical workflows, understanding OHTP's roadmap becomes a due-diligence requirement.

The reorganization lands as private-sector investment in health technology is accelerating sharply. Digital health venture funding reached $7.4 billion in the first half of 2026, driven by mega-deals of $100 million or more, according to Modern Healthcare. That capital is flowing into AI-powered revenue cycle tools, clinical decision support, and interoperability platforms, exactly the categories OHTP now governs at the federal level.

Vendor and procurement implications

Health IT vendors building products that interact with CMS data systems or seek federal program eligibility now face a consolidated regulatory counterpart. Where interoperability and AI oversight previously required navigating both ONC and CMS, OHTP consolidates that authority. That simplification could accelerate vendor certification cycles, or raise the bar for compliance, depending on how the new office sets its standards.

The timing also matters for health systems evaluating AI tools for revenue cycle management. Modern Healthcare reported in July that hospitals are turning to outside vendors as staffing shortages and documentation complexity make AI-powered RCM tools more attractive. Those purchasing decisions will be shaped in part by how OHTP frames federal guidance on AI implementation across Medicare billing and claims workflows.

The OHTP's first major test will likely come through the CMS Health Tech Ecosystem initiative, which Gleason has led and which forms the organizational rationale for the new office. How quickly the office issues implementation guidance, updates interoperability requirements, or signals AI procurement standards will tell operators whether this reorganization accelerates federal health IT modernization or simply consolidates existing functions under a new name.

What this means for your team

  • Map your current and planned health IT vendor contracts against OHTP's stated mandate areas, AI, interoperability, claims modernization, and provider directories, to identify which relationships may face new federal oversight or certification requirements.
  • Monitor OHTP's rulemaking and guidance output through the Federal Register and CMS.gov; this office now sets the direction that ONC previously held for interoperability standards affecting Medicare and Medicaid data exchange.
  • Factor OHTP's AI governance posture into your evaluation criteria for revenue cycle and clinical AI tools; vendors positioning for federal program eligibility will need to align with OHTP standards as they develop.
  • Revisit your CMS Health Tech Ecosystem engagement: systems or payers already participating in data-sharing pilots should expect that program to operate under OHTP's enterprise strategy, potentially accelerating timelines or adding new compliance checkpoints.

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