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Financing model framework announced for Section 298 Initiative
August 13, 2018
FOR IMMEDIATE RELEASE: August 13, 2018
CONTACT: Angela Minicuci, 517-241-2112
LANSING, Mich. – The Michigan Department of Health and Human Services (MDHHS) today announced that a consensus has been reached by the 298 Leadership Group on the framework for a financial model that will support the pilots involved in the Section 298 Initiative. The 298 Leadership Group consists of health plan executives and Community Mental Health Services Programs (CMHSP) executive directors from the pilot sites across Michigan.
“Our main goal is to come up with a solution that provides person-centered, community-based care with positive outcomes that promote independence, self-determination, and improved heath. The 298 Leadership Group agrees that this solution represents an improved integration of services and supports for the individuals who use our health programs,” said Matt Lori, Senior Deputy Director of Policy, Planning, and Legislative Services at MDHHS.
The new financial model will involve Medicaid health plans purchasing administrative services from the CMHSPs to keep care closest to the community, along with a mixture of capitation and fee-for-service payment for the actual delivery of care. The pilot program mandates that any financial benefits from this agreed-upon model be reinvested into the services and supports for these individuals in the counties where the savings occurs.
“Our goal is to create the most effective model for integration of physical and behavioral health services to improve care coordination, treatment and supports to the whole person,” stated Lisa Williams, executive director of West Michigan Community Mental Health. “The ability to come to an agreed upon consensus for pilot design by the Medicaid health plans and community mental health providers has been driven by the ability to remain forward-thinking about opportunities to continuously improve services to the people, families, and communities we serve.”
The Leadership Group has created a sub-workgroup to fully develop the structure for the payment model based on services and unique populations included. Part of the sub-workgroup’s goal is to ensure the public’s interest is being represented through oversight and accountability.
“We are making meaningful progress on the integration of physical and behavioral health services that will provide improved access and the highest quality of care for some of Michigan’s most vulnerable citizens, but there is still much work to be done to ensure true integration at the financial, administrative, and clinical levels,” stated Sean Kendall, president and chief operating officer of Meridian.
This financial model will be implemented across all three pilot sites located in Genesee, Saginaw, Muskegon, Lake, Oceana, and Mason counties and supports the overall goal of fully integrating the Medicaid-funded physical health and behavioral health benefits in Michigan for a minimum of two years. Further updates will be shared as progress is made towards the implementing the pilots.
For more information about the Section 298 Initiative, visit www.michigan.gov/stakeholder298.
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