SCHIP: Reauthorization, Increased Cost Sharing, and Quality Initiatives Betsy Shenkman Institute for Child Health Policy Department of Epidemiology and Health Policy Research University of Florida June 2006 Key Issues State policy changes and increased cost sharing Quality initiatives – What’s required? What’s novel? Illustration of Policy Changes in Two States Texas Title XXI Enrollment and Major Program Changes 600,000 Se p t , 2 0 0 3 ( E n r o l l me n t 5 0 7 , 2 5 9 ) : • B enef i t s el i mi nat ed f or hos pi c e, s k i l l ed nur s i ng, dent al , t obac c o c es s at i on, v i s i on & c hi r opr ac t i c s er v i c es • B enef i t s r educ ed f or i npat i ent & out pat i ent ment al heal t h 507,259 488,690 500,000 Oct, 2003 ( E n r o l l me n t 4 8 8 , 6 9 0 ) : • Cont i nuous el i gi bi l i t y r educ ed f r om 12 t o 6 mont hs Feb, 2006 • 90 day wai t i ng per i od bef or e c ov er age i mpl ement ed 458,166 ( E n r o l l me n t 3 1 0 , 9 8 1 ) : • E x c ept i ons t o wai t i ng per i od: dec er t i f i ed f r om M edi c ai d & deemed CHI P el i gi bi l e, newbor ns & ot her c hi l dr en added t o c ur r ent enr ol l ee ac c ount , c hi l dr en • Cos t s har i ng r ul es c hanged t o t he di s enr ol l ed f or f ai l ur e t o r enew but whos e par ent s c ompl et e t he r enewal wi t hi n a s pec i f i ed t i me per i od 400,000 per f ami l y : o 133%-150% FP L - $ 25 ( E n r o l l me n t 4 5 8 , 1 6 6 ) : • P r emi um enr ol l ment f ees Jan, 2004 o 151%-185% FP L - $ 35 359,734 ( E n r o l l me n t i mpl ement ed: o 186%-200% FP L - $ 50 340,101 416, 302): o 100%-150% FP L - $ 15 per 326,557 • Di s enr ol l ment of f ami l i es f ami l y per mont h A ug, 2004 f or f ai l ur e t o pay mont hl y o 151%-185% FP L - $ 20 per 300,000 f ol l owi ng per 6 mont hs enr ol l ment 416,302 N ov, 2003 pr emi ums s us pended f ami l y per mont h ( E n r o l l me n t 3 5 9 , 7 3 4 ) : N ov, 2004 • A s s et t es t i mpl ement ed f or ( E n r o l l me n t 3 4 0 , 1 0 1 ) : o 186%-200% FP L - $ 25 per f ami l i es wi t h i nc omes at or • Col l ec t i on of pr emi ums at r enewal f ami l y per mont h abov e 150% FP L s us pended 294,189 ( E n r o l l me n t 3 2 6 , 5 5 7 ) : • Copay ment c hanges i mpl ement ed: o Of f i c e v i s i t - $ 3-$ 7, 200,000 310,981 Se p t , 2 0 0 5 • Sept ember 2003 benef i t s A pr , 2006 r es t or ed & ment al heal t h ( E n r o l l me n t 2 9 4 , 1 8 9 ) : benef i t s i nc r eas ed • Dent al benef i t r es t or ed wi t h benef i t t i er s dependi ng on i nc ome o I npat i ent – I nc r eas e f r om $ 0 t o $ 10 f or f ami l i es l es s t han 100% FP L • Cos t s har i ng c ap i nc r eas es • E ar ned i nc ome di s r egar ds el i mi nat ed 100,000 Enrollment Apr-06 Mar-06 Feb-06 Jan-06 Dec-05 Nov-05 Oct-05 Sep-05 Aug-05 Jul-05 Jun-05 May-05 Apr-05 Mar-05 Feb-05 Jan-05 Dec-04 Nov-04 Oct-04 Sep-04 Aug-04 Jul-04 Jun-04 May-04 Apr-04 Mar-04 Feb-04 Jan-04 Dec-03 Nov-03 Oct-03 Sep-03 0 Florida Title XXI Enrollment and Major Program Changes 336,689 Fall 2004: 331,281 340,000 326,755 315,222 320,000 July 03: • “No Growth” budget enacted 300,000 • Program overenrolled, wait list started 280,000 • No Title XIX to Title XXI transfers • Federal and state funding for Florida KidCare Outreach eliminated 260,000 264,278 240,000 323,262 Apr. 04: 322,997 Begin enrolling Title XXI Wait List Dec. 03: • 6-month cancellation for premium nonpayment • No reinstatements for breaks in coverage • Jan. 04: Only CMSN accepts Medicaid to Title XXI transfers (ended Mar. 04) • Mar. 04: Legislation enacted — wait list funded, other program changes • Premium non-payment penalty reverts to 60 days • Reinstatements allowed if in the data system before 3/12/04 • Hurricane Relief Provisions: No disenrollments for failure to provide renewal documents or failure to pay premiums, credits for those who did pay (3 months) July 04: • New income documentation & access to employer health insurance requirements (delayed due to hurricanes) December 04: • Open enrollment announced • Disenrollments for renewal noncompliance and unpaid premiums implemented • New enrollees accepted only during open enrollment • Legislature reduced income documentation requirements • Loss of Medicaid for over-income eligible to apply outside of open enrollment, 7/1/04 252,209 July 05: Year-round open enrollment reinstituted; application valid for 120 days • FY 04-05 Appropriated Avr. Monthly Caseload: 389,515 220,000 FY 05-06 Appropriated Avr. Monthly Caseload: 388,862 220,533 Aug. 05: Back-toSchool campaign, post cards 200,000 Jan. 05: Open enrollment Jan. 1-30, 2005; applications 202,433 processed, children enrolled (ongoing) 180,000 Jul-02 Oct-02 Jan-03 Apr-03 Jul-03 Oct-03 Jan-04 Apr-04 Jul-04 Oct-04 Jan-05 Apr-05 Jul-05 202,615 Oct-05 Cost Sharing Increased cost sharing in the form of increased premiums a large portion of the changes Important issue because of Deficit Reduction Act of 2005 so lessons to be learned for SCHIP and Medicaid Florida Premium Changes PFPM Premium Amount Prior to July 2003 July 2003 September 2003 October 2003 Forward 101%-150% FPL $15 $20 $15 151%-200% FPL $15 $20 $20 Family Income Cost Sharing Using Florida data, accelerated failure time model (AFT) – enrollment length Opportunity to examine potential changes in behavior across time and with shifting premiums Followed 153,768 Title XXI children from July 1, 2002 to June 30, 2004 Included age, gender, and health status in our analyses Enrollment Length Ratios By Income and Premium Amount Time Ratio Premium = $15 Premium = $20 3 Premium = $20 for 151-200% FPL Premium = $15 for 101-150% FPL 2 1 101-150% FPL 151-200% FPL Time Jul-02 Jul-03 Oct-03 Interaction of Premium Change and Health Status Children were classified into health status categories using the Clinical Risk Groups Interaction between premium and health status not significant for children with moderate chronic or major chronic conditions In the short-term enrollment duration decreased for children who were healthy, had significant acute or minor chronic conditions and were above 150% FPL and then increased but not back to baseline levels. Quality of Care in SCHIP Annual CMS Report - Core quality measures Well child visits first 15 months of life Well child visits 3rd, 4th, 5th, and 6th years Appropriate medications for children with asthma Access to primary care practitioners Quality of Care in SCHIP Mathematica Study 2005 report based on SFY 2003 Reporting Core Measures reported 8 states use 4 measures 18 states use 3 measures 7 states use 2 measures 3 states use 1 measure 14 states use no measures Quality of Care in SCHIP Mathematica Study Most frequent – well child in 3rd, 4th, 5th, 6th years – 33 states (13% to 73% compliance) Least frequent – asthma medications – 15 states (52% to 70% compliance) Goal Re: Quality Improve consistency of reporting Report something Use performance data for quality improvement Published Reports – Quality of Care in SCHIP Primary focus on access to care – usual source of care Continuity of care – continuity with usual provider Utilization of specific health services Usually parent report See increase in those with USC, greater continuity, increased reports of preventive care visits Illustration: Texas Value-Based Purchasing Initiative Concept - buyers should hold providers of health care accountable for both cost and quality of care HEDIS core measures and Consumer Assessment of Health Plan Survey (CAHPS) results reported Additional adult measures used Reported in a quarterly chart book by plan, service delivery area, and overall Annual encounter data certification and validation performed Illustration: Texas Value-Based Purchasing Initiative Established standards – usually average of Medicaid plans reporting to NCQA Validated calculations with the health plans Three year process to reach validation stage Plans submit goals to state health plan managers and report on strategies to improve performance SFY 2007 – 3 goals and measures; increase to 5-7 per year Examples - Chart 17. HEDIS® Well-Child Visits in the 3rd, 4th, 5th, And 6th Years of Life-TANF STAR MCOs - March 1, 2004 to February 28, 2005 70% 68.61% 60% TANF Enrollees in Age Group = 95,060 66.56% 60.68% 59.86% Plan B Plan C 68.45% 66.29% 63.48% 62.90% Plan F Plan G 50% 40% 30% 20% 10% 0% Plan A MCO Percent Reference: TANF STAR Table PI-2 Plan D Plan E STAR MCO Mean = 65.27% HEDIS 2004 Mean = 59.90% Plan H Illustration: Texas Value-Based Purchasing Initiative Health plan meetings and workgroups Meet with state plan managers on status Financial incentive 1% of premium at risk Unearned funds available to those plans that excel on selected measures Exceptional performance – additional 0.5% of available funds Liquidated damages and remedies Outcomes? Even prior to implementation of valuebased purchasing – seeing indicator improvement Some studies – modest to no performance increases Pay for Performance CMS/Premier P4P demonstration Mostly private sector interest Interest in Medicare Some states P4P in Medicaid New York, Michigan, California, RI, NC, PA New York – 1% of premium and may increase to 3% of premium Potential Obstacles Credibility of information Lack of dissemination Information not being used to initiate change Time, effort, and expertise No requirement Summary Cost sharing changes, among others, have an impact on enrollment and access Little required in terms of quality measurement and little is known Some innovations with financial incentives but outcome uncertain