By The Associated Press

CHICAGO - State officials said Illinois is moving toward the second phase of a new program for those in the Medicaid system.

The Illinois Department of Healthcare and Family Services made the announcement. Officials said starting Friday there will be new services for more than 40,000 people in the Integrated Care Program. Those services include nursing home care and home and community-based care.

State officials said  they hope the program saves government money and offers better care. The first phase of the program focused on standard services like specialist care, lab work, mental health care and substance abuse. The second phase adds long-term care services.

The third phase is expected to launch in 2014 and those suffering from developmental disabilities.