Insights

Leavitt Partners Releases White Paper on “Value-Based Payment in Medicaid: Signals for States”

Salt Lake City, February 20, 2018 –Today, Leavitt Partners released “Value-Based Payment in Medicaid: Signals for States,” a white paper that outlines the Trump administration’s key signals to date and how they might impact state value-based payment (VBP) efforts in 2018 and beyond.

States have grappled with many unanswered questions regarding the Trump administration’s views on VBPs and how it will approach state-led or Medicaid-based payment reform initiatives. In the absence of clear direction, states have turned to the Centers for Medicaid & Medicare Services (CMS) for some indication of the administration’s approach. Thus far, the agency has signaled a shift in CMS priorities for value-based models, such as:

  1. Increased opportunities and incentives for provider participation
  2. A preference for voluntary participation
  3. Greater flexibility for both providers and states
  4. Testing state-based and local innovation models, including Medicaid-focused models
  5. Reducing federal expenditures on Medicaid

As states continue to assess their current and future plans, it will remain critical for them to understand the extent to which the administration’s priorities will impact their VBP efforts. A key takeaway from the paper is that as CMS diminishes its role and financial support in driving adoption of VBP models, states will play a bigger role in designing and advancing VBPs within their Medicaid programs.

The white paper can be viewed here.

About Leavitt Partners:

Leavitt Partners is a health care intelligence business. The firm helps clients successfully navigate the evolving role of value in health care by informing, advising, and convening industry leaders on value market analytics, alternative payment models, federal strategies, insurance market insights, and alliances. Through its family of businesses, the firm provides investment support, data and analytics, member-based alliances, and direct services to clients to support decision-making strategies in the value economy. For more information please visit www.LeavittPartners.com.