Administration of Human Resource Programs
NAICS 923: Administration of health, education, social services, and veterans' programs — HHS, SSA, VA, and CMS.
Industry Overview
Administration of Human Resource Programs (NAICS 923) covers government agencies that set policy, allocate funding, determine eligibility, and oversee delivery systems for public health, education, social assistance, and veterans' programs. These agencies do not typically deliver services directly — they administer the frameworks through which benefits reach individuals.
Major federal entities include the Department of Health and Human Services (overseeing CMS, ACF, and SAMHSA), the Social Security Administration, the Department of Education, and the Department of Veterans Affairs. The Centers for Medicare and Medicaid Services alone administers programs covering over 150 million Americans. At the state level, agencies manage Medicaid (jointly funded with the federal government under Title XIX of the Social Security Act), unemployment insurance under the Federal-State Unemployment Compensation program, TANF cash assistance, and SNAP benefits administered through USDA's Food and Nutrition Service.
The fiscal scale is extraordinary. Social Security, Medicare, and Medicaid represent the three largest line items in the federal budget, collectively exceeding discretionary spending by a wide margin. The operational challenge matches the fiscal scale: the Social Security Administration processes millions of retirement and disability claims annually, CMS oversees payment integrity across Medicare's fee-for-service and managed care systems, and the VA operates the nation's largest integrated healthcare system with over 170 medical centers.
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Industry Trends
CMS is expanding Medicare Advantage enrollment, which now covers over 50% of Medicare beneficiaries, shifting administrative relationships from direct fee-for-service claims processing to managed care plan oversight.
The Social Security Administration is replacing its COBOL-based legacy systems under a multi-year IT modernization effort, transitioning claims processing to cloud-based platforms to reduce processing backlogs.
States are deploying integrated eligibility systems — like Colorado's PEAK platform and California's CalSAWS — that allow residents to apply for Medicaid, SNAP, TANF, and childcare subsidies through a single digital portal.
The VA's MISSION Act (2018) expanded veterans' access to community healthcare providers when VA facilities cannot meet timeliness or distance standards, reshaping how the department administers care delivery.
CMS's Hospital Price Transparency Rule and the No Surprises Act are creating new administrative enforcement responsibilities, with CMS monitoring compliance and issuing penalties to non-compliant providers and insurers.
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