Region 2: Texas Medicaid 1115 Waiver

Congratulations to the work regional performing providers have done to meet DSRIP project metrics and milestones which were designed to transform healthcare delivery in Texas as well as optimize health system performance through three dimensions, which we call the “Triple Aim:” 1) improving the patient experience of care, including quality and satisfaction; 2) improving the health of populations; and, 3) reducing the per capita cost of health care. Please take a few minutes to stop and celebrate your accomplishments, and use these significant results to motivate you and your colleagues to push forward to make even more substantial impact during the remainder of the current waiver period.

Important Dates

July 27, 2016–UC providers inform RHP 2 Anchor Office if UC providers changed TPI between DY4 and DY5. More information is available here

July 28, 2016–Deadline for UC-only hospitals to submit Cat 4/Learning Collaborative certifications. More information is available here

July 29, 2016–April reporting DY4 DSRIP payments processed for all providers and DY5 DSRIP payments processed for remaining providers that were not paid on July 15, 2016

July 29, 2016–Proposed Transition Year Rule Packet #2 will be published in the July 29 issue of the Texas Register

July 29, 2016–Deadline to update TPI's in RHP Plan and to submit new/revised Affiliation Agreements for UC. More information is available here

July 29, 2016–The Category 3 interim correction forms are due back to HHSC. HHSC has updated the interim correction template to reflect the new goal calculations for IOS - Survey outcomes in DY5. Providers who have already completed a template do not need to complete a new template

August 2, 2016–Due date to submit all PFPM baselines to HHSC

August 5, 2016–HHSC will complete NMI Reporting Review and distribute reporting results

August 8, 2016–Deadline to register for the Texas 1115 Healthcare Transformation Waiver Statewide Learning Collaborative (SLC) Summit. More information is available here

August 19, 2016–IGT Commitment responses for UC due to HHSC. More information is available here

August 26, 2016–A public hearing on rules in DY 6 Rule Packet #2 is scheduled for August 26, 2016, at 9:00 am at the Brown-Heatly Building, Public Hearing Room, located at 4900 N. Lamar Blvd. in Austin. This hearing will be webcast

August 26, 2016–HHSC will begin providing approval of requested MLIU reporting exceptions, required QPI/MLIU changes, and submitted next steps or request additional information

August 30, 2016–Last day to enter IGT for UC in TexNet. More information is available here

August 30-31, 2016–2016 Statewide Learning Collaborative Summit

September 1, 2016–UC IGT Settlement Date. More information is available here

September 9, 2016 5:00pm–Anchors submit responses to HHSC requests for additional information, and Category 3 stretch activity selections and alternate achievement requests

September 12, 2016–UC transferring hospitals paid by HHSC. More information is available here

September 19, 2016–State owned hospitals submit vouchers for UC. More information is available here

September 30, 2016–Anticipated effective date of Transition Year Rule Packet #2

September 30, 2016–UC non-transferring hospitals paid by HHSC. More information is available here

Important Announcements

Waiver Renewal Planning

The Clinical Champions workgroup, in coordination with HHSC leadership and staff, has developed a process for DSRIP performing providers to demonstrate the benefits and early successes of some of the strongest DSRIP projects through peer assessment reviews.

HHSC posted the 1115 Waiver Extension Application Draft, attachments and Public Notice on the Waiver Renewal page of HHSC Waiver website. HHSC also took comments on this draft from July 6, 2015 to August 5, 2015. A summary of all comments from the public hearings (including the webinar) has been posted on the HHSC Waiver Renewal page.

HHSC will continue to work with stakeholders on detailed programmatic changes to the protocols not addressed in the waiver extension draft. More information on protocol-level proposals were provided at the Statewide Learning Collaborative Summit on August 27-28, 2015. During the DSRIP Extension Webinar on 9/30/2015, HHSC discussed planning for transition and working with CMS on the protocols. The webinar presentation is available here. HHSC has been developing two DSRIP transition year (demonstration year [DY] 6) rule packets.

*New* CMS officially approved a 15-month extension of the 1115 Waiver for Texas on May 1, 2016. Negotiations on a longer-term agreement will continue. More information is available here. On June 23, 2016, CMS sent to HHSC a letter approving the proposed DY6 PFM protocol language. The only substantive change that HHSC made to the version of the DY6 PFM protocol language that HHSC sent to anchors for feedback on June 8, 2016, is related to Category 3. For Category 3 outcomes designated as P4R with an associated stretch activity in DY5, HHSC revised the language to give providers a second option. Providers may either: 1) maintain the Category 3 outcome designated as P4R from DY5 and select a new stretch activity; or 2) select a population focused priority measure (PFPM) that is P4P. Under Option 1, 50% of the Category 3 outcome's value is P4R of the Category 3 outcome, and 50% is for completion of the stretch activity. Under Option 2, 100% of the Category 3 outcome's value is P4P of the newly selected PFPM. More information is available here.

CMS has also communicated two directions for future DSRIP (for all states) which are sustainability--DSRIP should not be considered an ongoing funding source--and Implementation of Alternative Payment Methodologies (APM)--similar to Value-based purchasing. Here is a link with more information on APM: https://hcp-lan.org/groups/apm-fpt/apm-framework/. CMS has requested an initial high-level work plan for integration into managed care, which HHSC is developing and will share with stakeholders before formal submission to CMS. The work plan will specify that a subset of projects will be identified for integration into managed care that could be either continuing or replacement projects.

HHSC also continues to receive questions about the Community Needs Assessment (CNA) redo/update that will be required. While HHSC does not plan to prescribe the CNA process for the regions, HHSC will develop a template for Anchors to report their RHP's CNA process. The PFM states that the updated regional community needs assessment will be due in June 2017.

For UC, CMS indicated that Texas' ask is more than what CMS thinks is warranted. HHSC submitted a draft Independent Evaluation of Uncompensated Care Costs (UC Study) to CMS on July 15, 2016 as required in the Special Terms and Conditions of the 15-month extension.

Based largely on the Transformational Impact Summaries, HHSC and the Clinical Champions are working together to describe effective models for care delivery. HHSC uses this information around best and promising practices to support protocol development in the renewal period as well as offering guidance to providers on opportunities to make improvements in continuing DSRIP projects. These best practices were included in the Transformation Extension Menu (TEM) project options for replacement projects, if approved. Stakeholder feedback informed the proposed TEM menu proposed to CMS.


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