Medicaid Managed Care Plans Chief Sees More Shifts Ahead
Patrick Connole
3/2/2018
In
surveying how Medicaid managed care may evolve in the coming years, Jeff Myers,
president and chief executive officer of the Medicaid Health Plans of America, tells
Provider he sees even more
populations served by long term and post-acute care (LT/PAC) providers coming
under managed care, like the intellectual and developmental disabilities (ID/DD)
segment.
Citing
a PricewaterhouseCoopers report that showed 74 percent of Medicaid beneficiaries
are in a full-risk managed care product, he says the prevalence of the health
plans is not news.
“But,
the big story underneath the story is that states are looking to put
populations that have been traditionally carved out in fee-for-service models
into full-risk contracts,” Myers says. “So, I think you are going to see over
the next two to three years a significant increase in duals [dual eligibles] in
full-risk contracts and a lot of MLTSS [Managed Long Term Services and
Supports] services fall into full-risk contracts.”
Myers also foresees communities that have
traditionally been in very fragmented designs for care move to a comprehensive
model that is also capitated, which puts providers on the hook to provide better
care or they face financial penalty.
“And,
obviously that cuts both ways,” Myers says. “Plans are responsible for making
quality happen, and providers—knowing the expertise they have—can start
rethinking what it is they do to provide that quality. I really think you are
going to see a massive change in the next three to five years as you see ID/DD
adults and the aged poor move into full-risk models that traditionally they
have not been in.”
On
other Medicaid issues, Myers says even though the fiscal year 2019 budget
released by President Trump recently is not a game changer, since presidents’
budgets in general are not likely to have a major impact on policy, the fact the
president realized the extent of the opioid crisis “and has indicated a
willingness to put billions of dollars behind coming to some solution is a good
thing.”
A
presidential budget is at least a signal of an administration’s priorities, he
says, and the opioid example is a positive one for Medicaid health plans that
would be used to address the crisis under comprehensive care models.
Legislative
efforts are also heating up, with new plans being offered seemingly on a daily
basis. One of the newest came on Feb. 27 when a group
of eight senators released a bipartisan plan that would authorize some $1 billion
in federal funding for addiction treatment and prevention and institute a
three-day limit on opioid prescriptions for acute pain.
The legislation works off the
Comprehensive Addiction and Recovery Act of 2016.
Even
with the new focus on opioids on both ends of Pennsylvania Ave., Myers says
much needs to be fleshed out in a government response plan since a key barrier
to achieving success will be through providers, which are lacking in numbers
right now.
“There
are not enough providers out there to treat this addiction,” he says. “The
government is going to have to think differently on how to address it and how
you have health plans build networks to address these challenges.”
There
will be a lot of discussion over the next couple of months about wrapping new
opioid addiction dollars into a mechanism to allow states to increase Medicaid
health plan rates to build out provider networks or create funds to supplement
the cost of behavioral health.
On
the flip side of the Trump budget, Myers says he was “not delighted to see the huge
amounts of money that the administration thinks should be pulled out of the
program.”
Speaking
about the failed attempts in 2017 to revamp Medicaid funding as part of the
doomed repeal of the Affordable Care Act (ACA), he says, “From our view,
Congress has already gone through that, and the American people have spoken that
it is not something they want to do. People feel it is an important entitlement
and important access point to health care for the working poor.”
As
an extension of that thought, Myers says the specific way the ACA repeal bills
would have changed Medicaid funding by deploying block grants on federal
outlays to the states is also a dead issue.
“Congress
[in 2018] is not going to move to do this. It is a suboptimal way to address
funding issues for Medicaid,” he says. Entitlement reform in general, be it
Medicaid or Medicare, is an highly unlikely target this year, he says, but “smaller
nibbles” are likely, via so-called 1115 waivers and work requirements favored
by many Republicans.
The
1115 waiver process is a focal point of the administration’s Centers for
Medicare & Medicaid Services as it promotes state “innovation” to bring
ideas on what states may favor in terms of making Medicaid more efficient.