health reform in washington state: where we’ve been and where we’re headed

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Health Reform in Washington State: Health Reform in Washington State: Where We’ve Been and Where We’re Where We’ve Been and Where We’re Headed Headed Latino Health Forum October 9, 2014 Daniel Lessler, MD, MHA, FACP Chief Medical Officer Health Care Authority

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Daniel Lessler, MD, MHA, FACP, Chief Medical Officer, Washington Health Care Authority

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Page 1: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

Health Reform in Washington State: Health Reform in Washington State: Where We’ve Been and Where We’re HeadedWhere We’ve Been and Where We’re Headed

Latino Health ForumOctober 9, 2014

Daniel Lessler, MD, MHA, FACPChief Medical OfficerHealth Care Authority

Page 2: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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This is the first page to get started.

Single Door to Find Coverage – Began Oct 2013Single Door to Find Coverage – Began Oct 2013

Page 3: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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NEW 2018 TARGETS

Garfield

Thurston

Grays Harbor

Mason

Jefferson

Clallam

WhatcomSan Juan

Island

Kitsap

Skagit

Snohomish

King

Pierce

LewisPacific

Wahkiakum Cowlitz

Clark

Skamania

Yakima

Klickitat

Kittitas

ChelanDouglas

Okanogan Ferry Stevens Pend Oreille

Grant

Benton

Franklin

Walla Walla

Adams

Lincoln Spokane

Whitman

Columbia

Asotin

Medicaid Expansion Enrollment Targets for January 1, 2018

Total New Adult Clients = 326,447*

Target for January 1, 2018 = 252,576Percent of 2018 Target Met

Statewide = 129%Between October 1, 2013 and June 5, 2014

Percent of goal metADULT

CLIENT COUNT1,018

11,1952,061

27,90511,970

20289,841

4,35610,22936,630

1852,7145,9061,9181,013

28,8941,2713,7672,591

19,8091,147

4554,4342,955

9672,268

6762,946

724,2424,1055,5858,206

42016,091

4,148387

2,1941,674

*109 additional clients do not map to Washington counties.

SOURCE: Washington State Health Care Authority, June 10, 2014 – based on 2012 estimates.

ON TRACK

OFF PACE

Under 70%70 to 79%80 to 89%90 to 99%100% or higherLEGEND

Page 4: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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29%

* The Hispanic category includes all enrollees who indicated they are of Hispanic origin regardless of their race.

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Apple Health (New Adults) Enrollment by Race/Ethnicity, through Sep 11, 2014

Page 5: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

Health Care ReformHealth Care Reform

• With implementation of the Affordable Care Act, HCA will purchase care for approximately 2 million Washington residents.

• We must move ahead with coverage improvements, but they will be unsustainable if we do not change the cost of care.

Page 6: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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Budget Challenges – the Washington View

Page 7: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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EXISTING DESIGN NOT SUSTAINABLE

Medicaid delivery system silos

Fragmented service delivery - integrated care requires infrastructure & capacity development

Incentives & reimbursement structures not aligned to achieve outcomes or value – for purchasers, payers, providers & communities

Further home & community service balancing needed for supported seniors & individuals with a disability

Social determinants of health – attention to “prevention” needed in the broadest sense

Challenges in Access to Care and Services

Page 8: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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Page 9: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

State Health Care Innovation PlanState Health Care Innovation Plan• 8 month planning process• 12 state agencies• More than 100 meetings & public presentations• Hundreds of thought leaders engaged through the

state• Dozens of hospitals, clinics, community organizaitons• 770+ Feedback Network members• Funding from CMMI

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Page 10: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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Goal - a healthier Washington

Pay for value and outcomes instead of volume of services

Integrate physical and behavioral health to address the needs of the whole person

Empower communities to improve health and better link with health delivery

Critical Legislation Enacted in 2014

•E2SHB 2572 – Purchasing reform, greater transparency, empowered communities

•2SSB 6312 – Integrated whole-person care; purchasing and delivery system reform

Potential for Federal Financing10

http://www.hca.wa.gov/shcip/Documents/SHCIP_InnovationPlan.pdf

State Health Care Innovation Plan - Transformation by 2020

Page 11: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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Future alternative payment methodology that supports innovation and rewards improved health outcomes over volume of services delivered – see: http://www.hca.wa.gov/Pages/leg_reports.aspx.

Current System

Based on volume not valuePerformance measurement (and

data) difficult to obtainAdministratively onerous to clinics

and StatePayment system/financing not

predictableLittle accountability with no

shared savingsInhibits innovative approaches to

care (e.g., group visits, telemedicine, integrated/ coordinated care)

Multiple payment methodologies implemented in response to legislative direction

Future System

Based on value not volume (incentives tied to health outcomes)

State-wide performance measures based on data

Administrative simplification for clinics and state

Prospective/predictable budgeting for clinics and state

Accountability clear with opportunities to share in savings

Rewards innovative approaches to care (e.g., group visits, telemedicine, integrated/ coordinated care)

Sustainable payment methodology grounded in principles developed through collaborative process with a shared vision

The Bridge Challenge:Transition Support/Capacity Building

Systems for tracking services and

total cost of careData capacity improvementsModernized service delivery, with

EHR ramp-upCooperative support and incentives

for practice transformationIncreased uniformity of paymentWorkforce flexibility and training

Transition to Increased Performance Risk

Page 12: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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Behavioral Health Integration

• Integrated funding with shared resources• Leadership support for integration as driving

model of operations• Physical and behavioral health needs treated

collaboratively for all persons• Consistent communication and collaboration• Roles and cultures that blur or blend

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Page 13: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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State Health Care Innovation State Health Care Innovation PlanPlan

Accountable Communities of Health (ACH)

Collectively impact health through regionally driven priorities and solutions

Medicaid purchasing alignment

Develop a region-wide health assessment and regional health improvement plan

Driver of accountability for results

Forum for harmonizing payment models,

performance measures and investments

Health coordination and workforce development

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•Leverages public purchasing to share accountability for performance results across delivery systems•Empowers “local” innovation - payment models, performance measures, workforce development, health care coordination with community services & support and investments – and engages communities in local priorities•Enhances opportunities for cross agency efforts around common populations (especially those with high-cost, multiple, health and social service system needs)•Builds on lessons from current regional endeavors – health homes, RSNs, community-based organizations, service referral patterns, etc.

Why regional service areas?

Page 15: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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Whole Health Silo BustingWhole Health Silo Busting

Page 16: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

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A Healthier A Healthier WashingtonWashington: The Big Picture: The Big Picture

Federal Grant of $92.4 million requested end of July 2014 Anticipated late-October announcement for 1/1/2015 start date

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Page 17: Health Reform in Washington State: Where We’ve Been and Where We’re Headed

QUESTIONS?QUESTIONS?

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Daniel Lessler, MD, MHAChief Medical OfficerHealth Care Authority

[email protected]