Medicaid Transformation

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Medicaid Transformation Debra Farrington Senior Program Manager August 18, 2017

Medicaid Managed Care Already Exists in NC What North Carolina Has Now PRIMARY CARE CASE MANAGEMENT (CCNC) Primary care provider-based State pays additional fee to provide care management PACE Comprehensive, capitated 55 years old and older Available in certain areas, not currently statewide LME/MCOs (BEHAVIORAL HEALTH PREPAID HEALTH PLAN) Cover specific populations and specific services Provides care coordination for identified and priority groups What Managed Care Will Bring MCOs will take two forms: Commercial Plans Provider-led Entities Participating MCOs will be responsible for coordinating all services (except services carved out) and will receive a capitated payment for each enrolled beneficiary MEDICAID TRANSFORMATION AUGUST 18, 2017 2

Medicaid Transformation: Detailed Design for Medicaid Managed Care North Carolina s Proposed Program Design for Medicaid Managed Care Released Aug. 8, 2017 Presents State s vision for managed care Developed with significant stakeholder input received over the past year, including public input sessions in April/May 2017 More details than broader Section 1115 waiver submitted to CMS in June 2016 Drafted with health care professionals in mind Opportunity to comment on the proposed design through Sept. 8 MEDICAID TRANSFORMATION AUGUST 18, 2017 3

Vision and Goals SL 2015-245, as amended by SL 2016-121 directed transition from fee-forservice to managed for Medicaid and NC Health Choice programs Vision High-quality care Population health improvement Provider engagement and support Sustainable program with predictable cost Key Goal Work with county and local agencies to support delivery of coordinated care, address unmet needs Focus on integration of services for primary care, behavioral health, intellectual and developmental disorders, and substance use disorders Address social determinants of health (unmet social needs and their affect on health); e.g., employment, housing, food) Support beneficiaries and providers during transition MEDICAID TRANSFORMATION AUGUST 18, 2017 4

Session Laws 2015-245 & 2016-121 - Requirements Excluded Populations, Entities and Services Individuals dually eligible for Medicaid and Medicare Populations with short eligibility spans (e.g., medically needy and populations with emergency-only coverage) Enrollees with periods of retroactivity and presumptive eligibility Health Insurance Premium Payment (HIPP) beneficiaries Dental Program of All-inclusive Care for the Elderly (PACE) Local Education Agency (LEA) services Child Development Service Agencies (CDSAs) Members of federally recognized tribes (Eastern Band of Cherokee Indians may opt-in) MEDICAID TRANSFORMATION AUGUST 18, 2017 5

Session Laws 2015-245 & 2016-121 - Requirements Other Provisions Timing: 2019 go-live Prepaid health plans 3 statewide MCOs (commercial plans) Up to 12 PLEs in 6 regions Maintain eligibility for parents of children placed in foster care system Identified essential providers MEDICAID TRANSFORMATION AUGUST 18, 2017 6

Timeline *Stakeholder engagement will continue past 2019. **Represents the earliest go-live date for some segment of the Medicaid population. Approximate dates are contingent on factors outside of DHHS control, including CMS waiver approval. ***Additional procurement will be needed prior to managed care launch, including for enrollment broker, ombudsman program, and regional provider support centers, among others. MEDICAID TRANSFORMATION AUGUST 18, 2017 7

Prepaid Health Plans Beneficiary chooses plan that best fits personal situation 3 commercial plans Up to 12 provider-led entities Offer standard or tailored plans Standard plans Integrated physical, behavioral and pharmacy services Tailored plans Integrated physical, behavioral and pharmacy services for special populations Includes Innovations and state funded services 2 years post launch: serious mental illness, substance use disorders and I/DD Plans must accept any willing and able provider, including all essential providers Exceptions: quality, refusal to accept rates MEDICAID TRANSFORMATION AUGUST 18, 2017 8

Eligibility and Enrollment Eligibility Goal: Simple, timely, user-friendly eligibility Online, mail, telephone, in person DSS offices continue to hold pivotal role Determine eligibility; process renewals NC FAST determines in or out of managed care State pays additional fee for care management No change in eligibility appeals Enrollment Beneficiary chooses PHP and PCP Enrollment broker Support and education Counsel beneficiaries in PHP/PCP selection 30-day plan selection period PCP will be auto-assigned if not selected Future State Beneficiary applies, receives determination and selects PHP and PCP in one sitting (real or near-real time) Upgrades to E&E system Web-enabled enrollment MEDICAID TRANSFORMATION AUGUST 18, 2017 9

Beneficiary Support PHP Member Special personnel services staff Medical Explain Director, PHP Foster operation Care Liaisons, Foster Care Explain Behavioral role Health of PCP Clinical Assist Director with making appointments Care Managers and obtaining services Arrange non-emergency medical transportation Fielding questions and complaints Advising appeal and grievance rights and options Education to promote health, wellness, disease prevention Enrollment Broker Plan features Assist 90 day beneficiaries transition with enrollment Medication management services based on Fostering Provide health NC education protocols about PHP plans and role of PCP Counsel beneficiaries as they select PHP and PCP that best fits their situation Ombudsman Plan features Advocate 90 day transition for beneficiaries Medication management Provide support and active services based on Fostering preparation health NC protocols for appeals, grievance and fair hearing processes Facilitate real-time issue resolution Monitor trends in PHP performance or beneficiary concerns, with feedback to DHHS MEDICAID TRANSFORMATION AUGUST 18, 2017 10

Delayed Mandatory Enrollment SPECIAL POPULATION ENROLLMENT AFTER MANAGED CARE BEGINS (NO LATER THAN) Children in foster care and adoptive placements 22,000 1 year Certain Medicaid and NC Health Choice beneficiaries with an SMI, SUD or I/DD diagnosis, and those enrolled in TBI waiver Medicaid-only beneficiaries receiving long-stay nursing home services Medicaid-only CAP/C and CAP/DA waiver beneficiaries Individuals eligible for Medicare and Medicaid (dual eligibles) 85,000 2 years 2,000 2 years 3,500 4 years 245,000 4 years Enrollment numbers and phase-in dates are estimated and may change. MEDICAID TRANSFORMATION AUGUST 18, 2017 11

Foster Care PHP (1 year after implementation) PHP Requirements PHP requirements Special personnel personnel Medical Director, Foster Care Medical Liaisons, Director Foster Care Behavioral Health Clinical Director Care Foster Managers Care Liaisons Foster Care Behavioral Health Clinical Director Plan Features Plan features 90 day day transition transition Medication management services based on Medication management services based on Fostering health NC protocols Fostering Health NC protocols Care Managers SOURCE: MEDICAID TRANSFORMATION AUGUST 18, 2017 12

Unmet Social Needs (Social Determinants of Health) 70% 16% 81% 73% of health outcomes are tied to non-medical social determinants households in NC are food insecure receiving food assistance don t know where next meal is coming from receiving food assistance have had to choose between paying for food or health care or medicine 1.2M North Carolinians, rural and urban, cannot find affordable housing USDA Economic Research Service, Food Security status of U.S. Households in 2015 ncfoodbanks.org/hunger-in-north-carolina/ Robert Wood Johnson, County Health Rankings, countyhealthrankings.org/app/north-carolina/2017/overview MEDICAID TRANSFORMATION AUGUST 18, 2017 13

Unmet Social Needs: Resource Mapping and Innovation Support Goal: Unite communities and health care system to optimize health and well-being Resource mapping Map social determinants of health indicators at community and ZIP code level to display areas with the highest disparity Map and codify food, housing, transportation and other essential resources in communities and within institutions of care Build on current resource manage databases, like 211 or Wake Network of Care for up-to-date list of benefits and community services Partner closely with community stakeholders Health innovation investment Community efforts to scale, strengthen and sustain existing innovative initiatives Evidence-based interventions including referral and navigation services, collocated and embedded services, and use of flexible supports Required data collection and reporting; evaluated to determine effects on health outcomes and spending MEDICAID TRANSFORMATION AUGUST 18, 2017 14

Integrated Behavioral Health Medicaid beneficiaries with less intensive BH needs and without I/DDs Physical health Standard Plan State Plan BH Pharmacy No changes; beneficiaries remain in integrated managed care product Physical health Standard Plan State Plan BH Pharmacy Initial Phase Second Phase FFS Graphic displays Medicaid beneficiaries who are not excluded from LME-MCOs. NC Health Choice beneficiaries currently receive behavioral health benefits through Medicaid fee-for-service. High-Needs Medicaid Enrollees beneficiaries with serious BH needs, I/DDs and those enrolled in Innovations or TBI waivers Physical health State Plan BH Innovations Waiver LME-MCOs State funded BH services Pharmacy 1915(b)(3) TBI Waiver Beneficiaries transition from receiving physical health and BH in two separate delivery systems to integrated managed care product BH I/DD Tailored Plans Physical health State Plan BH Innovation s Waiver State funded BH services Pharmacy 1915(b)(3) TBI Waiver 15 MEDICAID TRANSFORMATION AUGUST 18, 2017

House Bill 662 Carolina Cares Provide health coverage to NC residents ineligible for Medicaid Background Primary Sponsors - Representatives Lambeth, Murphy, Dobson, and White Specifies covered population Outlines covered services Major shifts Participant premiums Work requirements Funding sources Federal (FMAP) Premiums State hospital assessments http://www.ncleg.net/sessions/2017/bills/house/html/h662v0.html 16

Medicaid Managed Care Proposed Program Design Comments Welcome and Encouraged Medicaid transformation website: ncdhhs.gov/nc-medicaid-transformation Written input due by Sept. 8, 2017: Email: Medicaid.Transformation@dhhs.nc.gov U.S. Mail: Department of Health and Human Services, Division of Health Benefits, 1950 Mail Service Center, Raleigh NC 27699-1950 Drop-off: Department of Health and Human Services, Dorothea Dix Campus, Adams Building, 101 Blair Drive, Raleigh NC MEDICAID TRANSFORMATION AUGUST 18, 2017 17

Discussion MEDICAID TRANSFORMATION AUGUST 18, 2017 18