Skip to main content

Pilot Development

The Michigan legislature approved a revised version of Section 298 as part of Public Act 207 of 2018. Under Sub-Section 2 of Section 298, the Michigan Legislature directed the Michigan Department of Health and Human Services to "implement up to 3 pilot projects to achieve fully financially integrated Medicaid behavioral health and physical health benefit and financial integration demonstration models. These demonstration models shall use single contracts between the state and each licensed Medicaid health plan that is currently contracted to provide Medicaid services in the geographic area of the pilot project." Update information on the pilot sites is included below.


Publication on the Concept Paper on the Unenrolled Population

Since the release of the November Report, MDHHS has continued to work on addressing identified barriers to the implementation of the pilots. As part of this process, MDHHS has been exploring options for providing coverage to individuals who reside in the pilot region but are not enrolled in a Medicaid Health Plan. MDHHS has published the following concept paper on the proposed approach for managing specialty behavioral health services for the unenrolled population during the pilots.

Concept Paper on the Unenrolled Population


Selection of the Pilots (New Content)

On March 9, 2018, MDHHS has announced the pilot sites for the Section 298 Initiative. MDHHS used a Request for Information (RFI) process in order to select the pilot sites. Based upon this process, MDHHS has selected the following three sites:

  • Pilot #1: Muskegon County CMH (dba HealthWest) and West Michigan Community Mental Health
  • Pilot #2: Genesee Health System
  • Pilot #3: Saginaw County Community Mental Health Authority

The formal Recommendation of Award notice for the pilot sites can be accessed through the link below.

Notice on the Announcement of the Pilot Sites for the Section 298 Initiative


MDHHS used a RFI process to select the pilot sites as required under Section 298 of Public Act 107 of 2017. The MDHHS released the original version of the RFI on December 20, 2017. The department issued a revised version of the RFI on February 9, 2018. This revised version includes (1) an update to the timeline for the RFI, (2) an amendment to Section 8 (Financing Models and Considerations), and (3) an amendment to Attachment A for the RFI. The timeline for the RFI is listed below.

  • Deadline for Providers to Submit Questions: January 10, 2018

  • State Answers to Providers’ Questions Provided by: January 23, 2018

  • Deadline to Submit Informational Responses: February 20, 2018

  • Oral Presentations: March 1 and March 2, 2018

  • Notice of Pilot Decision: March 9, 2018

The updated version of the RFI can also be found below:

PDF Version of the RFI


As part of the RFI process, MDHHS collected questions from interested applicants and other stakeholders on the content within the RFI. MDHHS has developed responses to each of these questions, and these responses have been posted on the State of Michigan’s procurement website. The department also posted a PDF version of the responses on the project website, which can be accessed through the following link:

Responses to the Questions on the RFI


On March 27, 2018, MDHHS also posted all of the responses to the RFI on this webpage. The RFI responses can be accessed through the links below:


Publication of the Concept Paper on the Pilot Structure

MDHHS developed the following concept paper as a complimentary work product to the November report. The concept paper expands on several of the concepts that were outlined in the November report. The goal of the concept paper is to provide clarification and guidance to stakeholders about the department’s current vision for the structure of the pilots. The concept paper can be accessed through the link below.

Concept Paper on the Section 298 Pilots