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AHCCCS Dual Integration Project Summit

AHCCCS Dual Integration Project Summit. April 18, 2012. AHCCCS Dual Eligible Population Proposal Overview AHCCCS Next Steps. AHCCCS Dual Eligible Population. AHCCCS Dual Enrollment as of January 2012. 4. AHCCCS DUAL ELIGIBLE MEMBERS MEDICARE ENROLLMENT January 2012.

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AHCCCS Dual Integration Project Summit

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  1. AHCCCS Dual Integration Project Summit April 18, 2012 Our first care is your health care Arizona Health Care Cost Containment System

  2. AHCCCS Dual Eligible Population • Proposal Overview • AHCCCS Next Steps Our first care is your health care Arizona Health Care Cost Containment System

  3. AHCCCS Dual Eligible Population Our first care is your health care Arizona Health Care Cost Containment System

  4. AHCCCS Dual Enrollment as of January 2012 Our first care is your health care Arizona Health Care Cost Containment System 4

  5. AHCCCS DUAL ELIGIBLE MEMBERS MEDICARE ENROLLMENTJanuary 2012 Our first care is your health care Arizona Health Care Cost Containment System

  6. Dual Eligible Member Complexity and Fragmentation • Problems with Fragmentation • Navigating multiple systems adds confusion for members • Lack of real-time clinical data frustrates those trying to help manage member – results in higher costs and poorer outcomes • Diffused accountability = No accountability • Fragmentation incentivizes cost shifting – not care coordination Our first care is your health care Arizona Health Care Cost Containment System

  7. Dual Member Integration Proposal Our first care is your health care Arizona Health Care Cost Containment System

  8. Federal Opportunity • CMS has created Medicare-Medicaid Coordination Office (Office for the Duals) http://www.cms.gov/medicare-medicaid-coordination/01_Overview.asp • Office provided with some new flexibilities as part of the ACA • CMS issued opportunity in July 2011 for states interested in pursuing Dual Integration Demonstration http://www.azahcccs.gov/reporting/legislation/Integration/Integration.aspx • Regular discussions since then – project fluid – more flexible Our first care is your health care Arizona Health Care Cost Containment System

  9. AHCCCS Demonstration Proposal • 3 Year Demonstration • January 1, 2014 Statewide Implementation • 3 way contract – CMS – State – Plan • 3 Populations • ALTCS E/PD: 21,000 • Acute members with Serious Mental Illness in Maricopa County: 7,000 • Acute: 77,000 Our first care is your health care Arizona Health Care Cost Containment System

  10. AHCCCS Demonstration Proposal • Plan Selection • ALTCS E/PD: Use existing ALTCS Contractors • Members with Serious Mental Illness in Maricopa County: Maricopa RBHA required to be Demo plan • Acute: Plan selection through upcoming RFP issued Fall 2012 • All plans will be required to meet additional CMS requirements including: • Demonstration specific application • Part D formulary approval • Model of Care approval Our first care is your health care Arizona Health Care Cost Containment System

  11. AHCCCS Demonstration ProposalVision and Rationale • Passive (automatic) enrollment into integrated plan with opt-out choice to Original Medicare • Build on the current AHCCCS managed care structure • Improve current D-SNP model • Ongoing automatic enrollment • Align administrative processes Our first care is your health care Arizona Health Care Cost Containment System

  12. AHCCCS Demonstration ProposalVision and Rationale • Members would have one point of contact for all services – Prescription drugs, all Medicare and Medicaid benefits • Providers would have one point of contact for prior authorizations and billing • Would allow plans to better coordinate care by having access to all member information • Integrates Admin processes – Appeals, marketing, quality measures, reporting, oversight Our first care is your health care Arizona Health Care Cost Containment System

  13. AHCCCS Demonstration ProposalCare Model Overview • Build on existing AHCCCS system • Robust network and monitoring • Behavioral health carve-out for Acute population • Behavioral health will be coordinated through RBHAs • Demonstration plans will be required to coordinate with RBHAs • Contract to formalize coordination and data sharing responsibilities Our first care is your health care Arizona Health Care Cost Containment System

  14. AHCCCS Demonstration ProposalCare Model Overview • Single benefit package for duals • All Medicare benefits • All Medicaid State Plan benefits • All Medicaid 1115 Waiver benefits, including home and community based services for the ALTCS population • Behavioral health services • Medicare Supplemental benefits (proposed) Our first care is your health care Arizona Health Care Cost Containment System

  15. AHCCCS Demonstration ProposalStakeholder Engagement • Important piece of Demonstration • Ongoing key to planning and implementation • Continue to outreach • Web/email • Mailings/fliers at community locations • In-person meetings Our first care is your health care Arizona Health Care Cost Containment System

  16. AHCCCS Demonstration ProposalStakeholder Engagement • Education will be key to success • Opt-out option very important • Medicare supplemental benefits • Continuity of care and coordination with current providers • Simplification Our first care is your health care Arizona Health Care Cost Containment System

  17. AHCCCS Demonstration ProposalBeneficiary Protections • Opt-out and choice of plan • Experienced member transition processes • Providers • Prescription drugs • Maintaining current level of benefits • Streamlining grievance and appeals Our first care is your health care Arizona Health Care Cost Containment System

  18. AHCCCS Demonstration ProposalFinancing and Payment • Capitated Financial Alignment model • Blended rate for all Medicare and Medicaid benefits determined by State and CMS • Plans will receive separate payments from State and CMS • Savings from integration will be shared between CMS and the State Our first care is your health care Arizona Health Care Cost Containment System

  19. AHCCCS Demonstration ProposalFinancing and Payment • Rates and savings still being determined • Savings will be nominal • AHCCCS managed care model • High penetration of members in home and community based settings • 60% duals in Medicare Advantage plans • 1/3 of duals aligned with same plan • Actuarially sound rates • Adopt current Medicaid rate setting processes Our first care is your health care Arizona Health Care Cost Containment System

  20. AHCCCS Demonstration ProposalApplication of Upfront Savings • Further discussion needed • Exploring ways to invest savings in care model • Extend the benefit package to include dental, vision or hearing benefits currently covered under Medicare Advantage plans as part of their supplemental benefits package • Reduced prescription drug co-pays • Provide care managers who can assist members with questions and education Our first care is your health care Arizona Health Care Cost Containment System

  21. AHCCCS Demonstration ProposalExpected Outcomes • Improved outcomes, including improved health status of dual eligibles enrolled in the Demonstration • More efficient and effective utilization of services • A reduction in cost-shifting between Medicare and Medicaid plans • Improved access to information and data • Consolidation of accountability for care • A reduction in duplication of services • An increase in enrollee satisfaction, leading to an increase in compliance • Administrative efficiencies Our first care is your health care Arizona Health Care Cost Containment System

  22. AHCCCS Demonstration ProposalExpected Savings • Inpatient reductions of avoidable preventable admissions and avoidable readmissions • Skilled Nursing Facility reductions • Emergency room reductions • Other Medicare medical services Our first care is your health care Arizona Health Care Cost Containment System

  23. AHCCCS Demonstration ProposalState Infrastructure • Mandatory Medicaid managed care for duals • Experienced managed care infrastructure • Monitoring managed care organizations • Developing policies and contractual requirements • Oversight and compliance • Rate setting • Encounter collection and data analysis • Clinical quality management • Medical management Our first care is your health care Arizona Health Care Cost Containment System

  24. AHCCCS Next Steps Our first care is your health care Arizona Health Care Cost Containment System

  25. AHCCCS Demonstration Proposal • Draft proposal on website for 30 day comment period • Comment period closes May 17th at 5:00pm • By email: duals@azahcccs.gov • By mail: Arizona Health Care Cost Containment System ATTN: Office of Intergovernmental Relations 801 E. Jefferson Street, MD 4200 Phoenix, Arizona 85034 Our first care is your health care Arizona Health Care Cost Containment System

  26. AHCCCS Demonstration Proposal • All feedback welcome • Specific areas • Target population • Enrollment methodology • Delivery of behavioral health services to the Acute Care population • Supplemental benefits • Beneficiary protections and ongoing stakeholder engagement • Financing and payment model • Application of State savings • Implementation strategy Our first care is your health care Arizona Health Care Cost Containment System

  27. AHCCCS Demonstration Proposal • May 2012: Review proposal comments • May 2012: Submit final proposal to CMS • May 2012: CMS makes proposal available for additional 30 day comment period then reviews for approval • Pending proposal approval, State will negotiate integration of Medicare/Medicaid benefits and requirements with CMS • Continued stakeholder engagement • 3-way contracts signed with CMS, State, and Plans Our first care is your health care Arizona Health Care Cost Containment System

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