QualitySYNC II April 10 , 2013 Beth A. Bortz, President & CEO

1. QualitySYNC II April 10, 2013 Beth A. Bortz, President & CEO

2. Impetus for a Center for Health Innovation • December 2010 VHRI recommended “convening multiple stakeholders in collaborative efforts to identify, pilot test, and spread effective models of delivery and payment.” • In order to be credible, these pilots need independence from any one established entity that could benefit from the results. • There appear to be significant grant opportunities (CMS, RWJF, other private foundations) available if key Virginia partners work together.

3. VCHI Mission and Vision Mission: To work in partnership with multiple stakeholders to accelerate the adoption of value-driven models of wellness and health care throughout Virginia. Vision: The Virginia Center for Health Innovation is envisioned as a nonprofit, nonpartisan, consumer-centered, trustworthy vehicle for sparking and sustaining health innovation in Virginia. The Center will advance the vision of Virginia as a national leader in individual health, community health, health care, and economic growth.

4. Value Proposition VCHI will add value to Virginia by: Researching and disseminating knowledge about innovative models to all stakeholders; Developing multi-stakeholder demonstration projects aimed at testing innovative models; Convening and educating stakeholders interested in accelerating the adoption of value-driven models of wellness and healthcare; Helping all stakeholders accelerate their pace of innovation for the benefit of Virginians.

5. Organization and Management • Set up as a 501c3 nonprofit corporation, governed by a Board of Directors. • The Board consists of 13 members, with a majority from the business community. • Staffed by a President/CEOand a CIO. External contractors are used as necessary.

6. Structure Incorporated Jan 2012 and submitted application for tax-exemption to the IRS April 2012. Housed at theVirginia Chamber of Commerce. The Virginia Hospital Education and Research Foundation serves as the fiscal agent, while VCHI’s tax-exempt status is in process. $1.2 M in start-up funding secured from six founding partners (MSV, PhRMA, VAHP, VHCF, VHHA, and VIPC&S) and from fourteen grants (Aetna, Carilion, HCA, HDL, GIH, GMU, Kaiser Permanente, Labcorp, Merck, PhRMA, Pfizer, Riverside, VHCF, UnitedHealthcare).

7. VCHI Innovation Portfolio • Measurement of employee health and productivity; • Value-based purchasing; • Value-based insurance design; • Focused delivery and payment reform; • Patient-centered care models; • Price and quality transparency; • Reducing overutilization; • Strategic wellness design; and • Patient safety improvement

8. Three Key Initiatives Selected for 2012-2013 • Virginia Health Innovation Inventory • Virginia Health Innovation Network • Virginia Health Innovation Plan

9. Virginia Health Innovation Inventory As a lead in to the creation of a Virginia Health Innovation Plan, VCHI created a statewide inventory of innovation projects already under development by VA stakeholders in healthcare in each of six priority areas. 371 survey responses were submitted. These offer detailed information on existing health innovations that should be considered for larger scale implementation. The survey is now closed, but will re-open June 2013. Survey responses will be available on the Virginia Health Innovation Network.

10. Virginia Health Innovation Plan: Purpose Seek input and build consensus among VA’s stakeholders as to the necessary components of a 3 yr. plan which focuses on multi-payer payment and delivery models that deliver better health, better care, and lower cost. Will meet the parameters established by CMSfor the State Innovation Model grant program, so that VA is in a position to seek implementation funds. Will position VA to move forward with private funders. Complete by May 2013. Grants prepared for submission throughout remainder of 2013, with implementation beginning January 2014.

11. Virginia Health Innovation Plan: Priorities Improving Early Childhood Outcomes Each priority will have a dedicated workgroup assigned to explore pilot programs and to reach consensus on a recommended three-year implementation plan. Workgroups will include members of the VHRI Advisory Board, the VCHI Board of Directors, as well as any key thought leaders in each particular priority area. Improving the Effectiveness, Efficiency, and Appropriate Mix of the Health Care Workforce Educating and Engaging Consumers to Purchase Value Virginia Health Innovation Plan Payment and Delivery Reform: Improving Care Integration for Physical and Mental Health Improving Transparency and Availability of Data Payment and Delivery Reform: Improving Chronic Disease Care

12. Virginia Health Innovation Network Upon completion of the Innovation Inventory, VCHI commenced with building the Virginia Health Innovation Network (VHIN). Envisioned as a cutting-edge online community that will enable members to help identify, generate, evaluate, spread, and sustain value-driven models of wellness and health care. Community members will participate in online learning activities, virtual conferences, innovation challenges, and conversations with innovators from the multiple sectors interested in improving the value of health care in Virginia.