AMA Wire

Wednesday, Feb. 27, 2013

This Week's News

HHS awards $300 million for health system improvements in 25 states

HHS awards $300 million for health system improvements in 25 states

Physicians and patients in more than two dozen states may see some significant changes to their local health care systems in the coming years thanks to nearly $300 million for testing new models of care awarded under a new initiative of the Center for Medicare & Medicaid Innovation.

Announced last week by the U.S. Department of Health and Human Services (HHS), the 25 states chosen for the State Innovations Model Initiative will use their awards to develop models of care that have the potential to transform health care delivery, bolstering quality and decreasing costs statewide.

Six states—Arkansas, Maine, Massachusetts, Minnesota, Oregon and Vermont—are receiving a total of more than $250 million to test their new models on a broad scale. These models include innovations in the delivery of care and how it is paid for. The models will be applied across multiple payers, with a focus on Medicare, Medicaid and the Children's Health Insurance Program.

Another 19 states will receive nearly $35 million to develop a detailed, comprehensive plan for health care transformation. HHS expects to offer a second round of model testing awards at a later date.

The AMA has been supporting state medical associations in their work to develop and implement innovative Medicaid and multi-payer delivery and payment models. Three of these medical associations are in awardee states that will begin testing their new models this year.

In addition, the AMA offers a variety of resources to help physicians lead new care delivery and payment innovations, including a "how-to" manual and white papers providing insight from experienced physician innovators. An ongoing webinar series also gives physicians an opportunity to learn about participating in specific innovations.

The AMA is working to shape delivery and payment models across the spectrum of payers, locations, practice settings and medical specialties to enhance professional satisfaction and practice sustainability as part of its new strategic plan.