Michigan receives approval for final year of State Innovation Model; continues effort to improve well-being of residents


CONTACT: Lynn Sutfin, 517-241-2112

LANSING, Mich. – The Michigan Department of Health and Human Services (MDHHS) is beginning its fourth and final year of Centers for Medicaid and Medicare Services’ (CMS) funding for its State Innovation Model (SIM) initiative. During this final year of the project, MDHHS will refine and optimize the state’s vision for a person-centered health system that coordinates care across medical settings and with community organizations to address social determinants of health, improve health outcomes and pursue community-centered solutions to factors related to poor health outcomes.

In 2015, CMS awarded MDHHS nearly $70 million over four years to test and implement a model for delivering and paying for health care in the state. CMS recently approved MDHHS’s Operational Plan for year four, which began Feb. 1.

The state organized its SIM initiative into three categories: population health, care delivery and technology. Each category focuses on improving outcomes for three priority populations: individuals at risk of high emergency department use, pregnant women and babies, and individuals with multiple chronic conditions. MDHHS has built on the state’s existing infrastructure to develop and implement models for delivering and financing services that can be sustained after federal SIM funding expires.

“Up to 90 percent of the factors that influence a person’s health are due to circumstances that occur outside the four walls of a medical setting,” said MDHHS Director Robert Gordon. “Michigan’s SIM initiative takes a systematic approach to addressing the factors that can result in improved health outcomes and cost savings.”

A key innovation under SIM, Community Health Innovation Regions (CHIRs), are an innovative approach regarding the role local organizations can play in improving the well-being of a region and changing the trajectory of medical costs. These broad partnerships work together to identify and implement strategies that address social determinants of health. CHIRs are being piloted in five areas of the state: Jackson, Genesee and Muskegon counties, the Northern Region (a 10-county area occupying the northwest portion of the lower peninsula) and the Livingston-Washtenaw county areas.

For more information, visit Michigan.gov/SIM.

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