Healthcare Business News

$300M to boost Medicaid, CHIP innovation

By Rich Daly
Posted: February 21, 2013 - 3:00 pm ET

Six states were awarded nearly $300 million by HHS to implement payment and delivery changes to their Medicaid and Children's Health Insurance Program plans.

The State Innovation Model awards, which were authorized by the Patient Protection and Affordable Care Act, will fund Medicaid pilot programs in Arkansas, Maine, Massachusetts, Minnesota, Oregon and Vermont that aim to improve care quality and lower costs.

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“As a former governor, I understand the real sense of urgency that states feel to improve the health of their populations while also reducing total healthcare costs, and it's critical that the many elements of healthcare in each state—including Medicaid, public health, and workforce training—work together,” HHS Secretary Kathleen Sebelius said in a news release.

The CMS will track the efficacy of those pilot programs for possible wider implementation nationwide.

The agency plans to award further grants to 19 more states to develop proposals for comprehensive healthcare transformation.

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