Medicaid Expansion in the District of Columbia November 27, 2012 Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) Background Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 2 Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) Unique Environment Grants • Multiple Federal Grants • CARE Act Part A $31.2 Million • CARE Act Part B $20.2 Million • HOPWA $13.6 Million • Multiple Federal Footprints Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 4 Unique Environment Geography • Part A • Part B • HOPWA • CDC DC VA MD WVa X X X X X X X X x x Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 5 Unique Environment DC Department of Defense Drug Price • Available to all ADAP • Requires • Centralized Purchase • Centralized Delivery and Re- Distribution • Replenishment, not Reimbursement • Low Prices Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 6 Unique Environment DC • Robust Medicaid • All FDA-Approved Medications • Wide Range of Specialty Benefits • 1115 Medicaid • Cost Neutrality by DOD Drug Prices • Applied to • HIV Anti-Retrovirals • Medicaid Fee-for-Service Clients with HIV Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 7 Unique Environment Alliance • DC Locally Funded Health Insurance • Eligible Residents • Income Less than 200% FPL • Not Medicaid Eligible • “Carve Out” for HIV Anti-Retrovirals • Forty Percent of ADAP Beneficiaries were Alliance Enrollees Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 8 Medicaid Expansion DC • Eligibility 133% FPL July 1, 2010 • End of 1115 Waiver Sept 30, 2010 • Eligibility 200% FPL Dec 1, 2010 • Alliance Enrollment Decreases In the District of Columbia • Adults with Coverage • Children with Coverage Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 93% 96% 9 Medicaid Expansion ADAP Beneficiaries (Approx) • Before Medicaid Expansion • Enrolled into Medicaid • Served (Monthly Avg) • “Traditional” ADAP • ADAP for Co-Payment or Deductibles ADAP 2,000 1,235 Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 700 275 10 Medicaid Expansion ADAP Implications • Substantial Cost-Shifting from ADAP to Medicaid • Cost to the District of Columbia • Increased for Drugs • Decreased Cost for Primary Care, Inpatient Care Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 11 Medicaid Expansion ADAP Implications for Pharmacy Points of Sale • Revitalized Pharmacy Network • Re-Framed Drug Assistance Program • Single Standard Regardless of Funding Source • Increased Efficiency • Reduced Costs Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 12 Medicaid Expansion Next Steps • Medicaid Managed Care Organizations • Provide Drugs through DOD Pricing • 3,200 Beneficiaries • Effective January 2013 Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 13 Medicaid Expansion Implications for Primary Care • Little Disruption in Service Providers • HIV Primary Care Providers Supported by CARE Act, Medicaid and Alliance • Increased Emphasis on Health Care Financing Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 14 Medicaid Expansion Implications for Support Service Providers • Increases Emphasis on Demonstrating Health Outcomes • Enhances Need for Coordination, Collaboration and Partnership Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 15 Medicaid Expansion Financing Health Care Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 16 Payor of Last Resort • Core Requirement of the CARE Act • Ensures All Other Payor Sources Used • Some Exceptions • Indian Health Service • Veterans • Competing “Payor of Last Resort” Provisions, e.g., FQHC Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 17 Payor of Last Resort • Familiarity with Third Party Payor • Systems and Benefits • Medicaid • Medicare • Indian Health Service • Alliance Ensure Clients are • Screened • Enrolled if Eligible Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 18 Payor of Last Resort • Ensure Claims are • Billed • Collected • Returned as Program Income Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 19 Payor of Last Resort • Past Practices • Parallel Systems of Care CARE Act Clients Medicaid Clients • Fee for Service Reimbursement for CARE Services Coding Cost Recovery Adoption of Medicaid Rates Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 20 “Whole Program” • Allows a Single Standard of Care • • • without Regard to Funding Source Maximizes Flexibility of Funding to Support Whole Program Requires Different Reimbursements • Third Party Fee-for-Service • CARE Act Cost Reimbursement Results in Program Income Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 21 Program Income • Income Generated by Funded Program • Third Party Payment • Client Fees or Client Contribution • Required • Demonstrated Benefit the HIV • Program Track and Report Monthly Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 22 Program Income • • • Example CARE Act Sub-Grant for Outpatient Ambulatory Care • Cost Reimbursement • Pays Salaries Salaried Staff • Service Unit Paid by Medicaid Medicaid Reimbursement is Program Income Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 23 Program Income • • May Be Used in Ways Not Permitted for CARE Act Funds • Occupancy Costs • Administrative Costs • Drug Costs for non-HIV Conditions Competing Federal Guidance • Multiple Parts of CARE Act • Federally Qualified Health Centers Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 24 Whole Program Medical Home • Program Income Can Support “Medical Home” Activities • Ensuring Linkage from Testing • Re-Engaging Lost-to-Care Clients • Targeted Support for High-Need Clients • Liaisons with Support Organizations Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 25 Prospects • Single System of Services • Consistently High Standards of Care • Supported by Multiple Funding Sources • Organized around Client Need • Achieved through Dynamic Partnerships Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 26 Questions and Discussion Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 27 Contact Information Gunther Freehill, Chief Care, Housing and Support Services Bureau HIV/AIDS, Hepatitis, STD and Tuberculosis Administration (HAHSTA) 899 North Capitol Fourth Floor Washington, DC 20002 Phone: 202/671-4900 Fax: 202/671-4860 E-mail: Gunther.Freehill@DC.Gov Government of the District of Columbia, Department of Health HIV/AIDS, Hepatitis, STD & TB Administration (HAHSTA) 28