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Military Health System Transformation

We’re transforming the MHS to improve the readiness of our forces and the health care we provide to our warfighters, retirees and their families. Reform efforts focus on organizational, infrastructure and manpower changes. As changes are implemented, our priorities are to:

  • Support the operational readiness of our Joint Force by ensuring they are medically ready to deploy
  • Increase opportunities for medical professionals to improve their readiness skills
  • Provide beneficiaries with access to high quality care

Congress initiated these changes because they saw a need for a more flexible, adaptable, effective and integrated system to manage our medical facilities. Decades of best practices from across the Army, Navy and Air Force are converging now to build a stronger, more integrated and connected MHS.

We're also deploying a new electronic health record, MHS GENESIS, to all military hospitals and clinics.

Market Structure

DHA has established a market-based structure to manage the hospitals and clinics. These market organizations will provide shared administrative services to the hospitals and clinics in their region. 

Infrastructure Changes

Congress has directed the Department of Defense to submit a report on restructuring military hospitals and clinics to increase focus on military and medical force readiness. The DOD is nearing completion of its analysis, which has focused on both the role of each hospital and clinic to support military readiness and on the department's solemn obligation to provide outstanding health care for its 9.6 million beneficiaries.

Manpower Changes

The Department’s FY20 budget proposal recommended the realignment of approximately 12,000 uniformed billets from the MHS into operational forces by Fiscal Year 2027. The Military Departments made recommendations to support the intent of the Department after rigorous analysis of their operational responsibilities and requirements. This proposed reduction meets the Department’s intent of increasing the combat capability of our forces. With this direction, DHA is formulating plans to ensure that beneficiaries continue to have uninterrupted access to high-quality care through a combination of new civilian and contract personnel, outside partnerships, and the TRICARE network.

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San Antonio Market Celebrates First Anniversary as a Unified Health Care System

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The San Antonio Market will celebrate its one-year anniversary as a unified military health care system this week.

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Puget Sound Market stands up with integration in mind

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Defense Health Agency leaders ushered in the new Puget Sound Market within the nationwide Military Health System.

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Local military medical units combine into medical market

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The 96th Medical Group at Eglin Air Force Base in Florida and Defense Health Agency leadership marked the forming of a new military medical organization during a market establishment ceremony on Nov. 15. This new Florida Panhandle Market is a transformation of northwest Florida-based military treatment facilities into a market, or group of military medical facilities working together within the military health system.

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MHS GENESIS: New electronic health record coming soon to the San Antonio Market

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The San Antonio Market will transition to the new electronic health record system – known as MHS GENESIS – in January 2022.

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Last Updated: March 07, 2022

DHA Address: 7700 Arlington Boulevard | Suite 5101 | Falls Church, VA | 22042-5101

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