Have existing coordination/integration efforts yielded Medicaid expenditure savings?

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Have existing coordination/integration efforts yielded Medicaid expenditure savings? Performance and Evaluation Committee Meeting Baltimore Substance Abuse Systems, Inc. January 31, 2013 Michael T. Abrams, Seung O. Kim, Jayne M. Miller, Yngvild Olsen, Jose J. Arbelaez

General Questions What evidence is there in Maryland Medicaid administrative data that coordination/integration of care strategies for persons with substance use disorders (SUDs) yield aggregate medical expenditure savings? What is the apparent magnitude of those savings? What are apparent pathways to those savings? -2-

Why are these questions important and timely? Affordable Care Act (U.S. Public Laws 111-148 and 111-152) General interest in addressing fragmentation of care across behavioral and somatic health care treatment domains Parity efforts that do not typically y emphasize SUDs in isolation -3-

Essential Health Benefits (A) Ambulatory patient t services (B) Emergency services (C) Hospitalization (D) Maternity and newborn care (E) Mental health and substance abuse services, including behavioral health treatment (F) Prescription drugs (G) Rehabilitative and habilitative services and devices (H) Laboratory services (I) Preventive and wellness services and chronic disease management (J) Pediatric services, including oral and vision -4- (ACA 1302(b)(1)(E) p. 59)

A health home provider is a physician, clinical practice or clinical group practice, rural clinic, community health center, community mental health center, home health agency, or any other entity or provider (including pediatricians, gynecologists, and obstetricians) that is judged by the State and approved by the Secretary to be qualified to be a health home for eligible individuals with chronic conditions on the basis of documentation showing that the physician, practice, or clinic (A) has the systems and infrastructure in place to provide health home services; and (B) satisfied the qualification standards established by the Secretary (ACA 2703(a)(h)(5)(A and B) p. 232) -5-

CMS Expectation we expect that use of the health home service delivery model will result in lower rates of emergency room use, reduction in hospital admissions and re-admissions, reduction in health care costs, less reliance on long-term care facilities, and improved experience of care and quality of care outcomes for the individual. Mann C. Re: Health Homes for Enrollees with Chronic Conditions, 2010 Nov 16. -6-

Statistical Framing Total Medicaid Expenditures = f (Coordination/Integration t Variable, Covariates) Coordination/integration variable we created was: the coordination reputation of a person s s most frequent provider (MFP) -7-

Recipe for isolating MFPs and flagging them as coordinated 1. Isolated persons with Medicaid records revealing the presence of SUD morbidity or treatment in CY 2010 2. Isolated person-level, non-er, outpatient professional (e.g., physician or nurse practitioner) Medicaid events 3. Rank-ordered each person s provider IDs by visit frequency, and retained the top two 4. Isolated those MFPs who served 50 persons with SUD (59% of total SUD population; 192 out of >5,000 MFPs) -8-

MFP coordination recipe continued 5. Cross-tabulated the MFP list to case-mix information derived from latent class analysis (Abrams et al., 2012) 6. Distributed the MFP/case-mix list to stakeholders at bsas, MHA, ADAA, and others. 7. Asked those stakeholders to flag MFPs that, as of CY 2010, had made noticeable progress in coordinating/integrating care across at least two of the following three domains: mental health, SUD treatment, and somatic health -9-

Who/What are the MFPs? Most Frequent Provider Type* Count (percent**) Opioid Treatment Program (e.g., methadone clinic) 11,842 (21) Other addiction treatment programs 2,678 (4.7) Mental health provider 6,978 (12) Family or general practitioner 3.048 (5.3) Federallyqualifiedhealth center (FQHC) or local health department 4,706 (8.2) Office visit, otherwise not specified 13,557 (24) Not specified 13,314 (23) No most frequent provider evident in the Medicaid record 1,230 (2.1) * Based on review of four Medicaid administrative data fields: catserv, provtype, spec(ialty), and place. ** Totals do not add to 100 percent because of rounding. -10-

Information in Medicaid records used to derive latent case mix 1. Age 2. Gender 3. Race (Black, White, Other) 4. Region (Baltimore City, Suburbs, East., West., South.) 5. Enrollment Category (HealthChoice, PAC, Dual) 6. Aged/Blind/Disabled Category 7. Pregnancy 8. Service Use: Inpatient, ED, LTC, ORT (Opioid Replacement Therapy) 9. Diagnostic Markers (23 SUDs, 23 MEDCs, 10 EDCs) 10. Expenditures -11-

Derived latent case-mix, labeled as 10 subgroups Class Low Morbid. ORT Women Pregnant Women High ER Use Disabled, ORT Adult PAC/Dual Adult Dual Adult High Somatic Morbid. Adult High Psych. Morbid. Urban Teenagers/ ORT PAC Young Adults N 4,652 3,265 5,138 4,680 6,196 5,158 3,732 3,258 5,250 5,014 Mean Age (Stdev) 32(9) 26(6) 31(10) 48(8) 43(11) 49(10) 46(11) 38(12) 43(7) 18(5) Female 51% 100% 78% 57% 34% 43% 57% 41% 41% 26% Pregnant 1% 86% 6% 0% 0% 0% 3% 3% 0% 0% Duals 2% 1% 5% 10% 16% 31% 20% 19% 5% 0% PAC 40% 0% 11% 17% 37% 5% 2% 7% 58% 2% Inpatient 2% 74% 22% 26% 10% 68% 96% 86% 1% 18% ER 36% 79% 92% 78% 63% 92% 100% 99% 31% 57% ORT 83% 23% 35% 80% 2% 1% 23% 31% 69% 1% Depression 26% 32% 47% 47% 32% 32% 3% 85% 32% 19% Cardio vascular 11% 22% 40% 74% 46% 88% 97% 61% 38% 7% -12-

What did the review list look like? -13- -- <11 patients

Statistical Model Total Medicaid Expenditures = f (Coord MFP ; Age, Sex, Race, Urban/Suburban, Enrollment Months, Coverage Category, Disability Status, Pregnancy, Disease Burden, Opioid Agonist/Antagonist Therapy, Drug Dependence, SMI) -14-

Results, unadjusted Variable Total Medicaid Expenditures ($) Coord MFP = Yes (n= 7,930) Coord MFP = No (n=25,713) Mean or Percent Standard Deviation Mean or Percent Standard Deviation 16,249 27,620 18,933 37,875 Age (years) 37 13 39 13 Females (percent) 54 47 White race (percent) 59 38 Urban/suburban 66 87 residence (percent) PAC enrollment (percent) 21 29 Disease burden (count) 6.2 3.9 5.8 3.8-15-

Regression Results Variable Main Model Increased Coord MFP Sensitivity Coord MFP % 24 29 Adjusted r square.55.55 Regression coefficients (selected, not all) Coord MFP.079***.055*** Urban/Suburban.19***.19*** Disabled.30***.30*** Disease burden.19***.19*** ORT.42***.42*** Drug dependence d.30***.30*** Schizophrenia or affective psychosis.58***.58*** -.055 * $18,301 = -$1,007 (a conservative estimate of savings correlated with exposure to a Coord MFP ) -16-

Pathways Independent Variable Dependent Variable Utilization outcome (ref: none) c Inpatient ED (Ambulatory) aor 95% CI aor 95% CI Low.97.88, 1.08 1.03.95, 1.11 Coord MFP Moderate.91.82, 1.00 1.05.96, 1.1414 High.76.68,.85 1.08.97, 1.20 a Overall model fit statistics- n=24,528, R 2 =.42, χ 2 =11,340, df=51, p<.0001 b Overall model fit statistics- n=33,643, R 2 =.53, χ 2 =83,041, df=54, p<.0001 c For Inpatient, Low = 1-3 days, Moderate = 4-7 days, High = 7 days; for ED, Low = 1 visit, Moderate = 2-4 visits, High > 4 visits. aor = adjusted odds ratio (adjustments made using the following covariates: age, sex, race, urban/suburban residence, Medicaid coverage category, Opioid Maintenance Therapy, pregnancy, disease burden, and schizophrenia or affective psychosis diagnosis). -17-

Summary of Results -18-

Conclusions/Limitations Coordination efforts save $ in a Medicaid SUD population Bodes well for current state efforts to expand chronic health homes within methadone clinics Inpatient reductions seems key, ED not necessarily so Administrative data, not clinical or epidemiological Coord MFP variable is simple and rough Observational, cross-sectional data

Contact Information Michael T. Abrams, MPH Senior Research Analyst The Hilltop Institute University of Maryland, Baltimore County (UMBC) 410.455.6390455 mabrams@hilltop.umbc.edu -20-

About The Hilltop Institute The Hilltop Institute at UMBC is a non-partisan health research organization with an expertise in Medicaid and in improving publicly financed health care systems dedicated to advancing the health and wellbeing of vulnerable populations. Hilltop conducts research, analysis, and evaluations on behalf of government agencies, foundations, and nonprofit organizations at the national, state, and local levels. Hilltop is committed to addressing complex issues through informed, objective, and innovative research and analysis. www.hilltopinstitute.org -21-