Ohio Gov.
John Kasich Administration…
Health
Care
Payment Reform Initiative Launched
January 10, 2012
COLUMBUS –
Governor John Kasich’s Administration today launched a formal
initiative to
partner with health care stakeholders to begin to change Ohio’s public
and
private health care business models from one that is based on volume to
one
based on value and performance.
The Office
of Ohio Health Plans (Ohio Medicaid), under the leadership of Director
John
McCarthy, has begun to work with Catalyst for Payment Reform (CPR),
making Ohio
Medicaid the first state Medicaid program to participate in the
organization’s
efforts. CPR is an independent, national non-profit organization that
leverages
the collective strength of private- and public-sector health-care
purchasers to
achieve better value and quality in health care.
“In Ohio
and across the country, we must do a better job of meeting the health
needs of
individuals and creating a healthy and productive workforce at a price
that is
affordable for businesses, governments, individuals and other payers,”
said
Director of the Governor’s Office of Health Transformation Greg Moody.
“In
partnership with CPR, we are setting clear expectations for providers
and
health plans in Ohio and developing tools to give Ohioans more bang for
their
health-care buck.”
CPR’s
participating purchasers include some of the nation’s largest
corporations and
public purchasers—including the Ohio Public Employees Retirement System
(OPERS)—that share the belief that payment reforms should promote
health by
rewarding the delivery of quality, cost-effective and affordable care
that is
patient-centered. Participants work to tailor payment strategies to
improve the
performance of the health-care system. In particular, CPR purchasers
agree to
use CPR’s model health-plan contract language on payment reform to
drive
quality outcomes for consumers.
“No single
employer or health-care purchaser has enough leverage on its own to
change the way
we pay for health care in the United States,” said CPR Executive
Director
Suzanne F. Delbanco, Ph.D. “By coming together with other large
health-care
purchasers around a shared agenda, Ohio’s Medicaid program will enhance
its
leverage and work toward a payment system that generates better value
for each
health-care dollar. We are thrilled that Ohio Medicaid is going to be
participating in our cutting-edge efforts, and we applaud Governor
Kasich for
participating with CPR as part of his approach to health
transformation.”
“The state
of Ohio spends more than $17 billion per year to provide health care
for more
than 2.7 million people, with Medicaid covering 2.1 million
beneficiaries and
$14 billion of the total cost,” said Director McCarthy. “CPR allows us
to
combine our considerable purchasing power with that of some of the
nation’s
largest corporations and public purchasers, such as OPERS, FedEx, eBay,
Inc.,
Xerox Corporation, 3M and GE, to drive reforms in the health-care
system. I am
excited about the opportunity that this partnership provides for the
individuals we serve and for the taxpayers of Ohio.”
The Kasich
Administration will also be ramping up discussions with public- and
private-sector partners within Ohio—including insurers, health systems,
employers, providers, and advocate groups—to align priorities and work
on
payment reform.
“If payers start lining up their
expectations, it becomes a powerful tool to change the delivery of
health
care,” said Director Moody. “We are going to be working with all
stakeholders
to develop expectations that put individuals and taxpayers first, and
then make
sure how we pay is aligned with those expectations.”
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