2008 Session

Budget Amendments - HB30 (Conference Report)

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Medicaid Incentives for Healthy Lifestyles (language only)

Item 306 #9c

Item 306 #9c

Health And Human Resources
Medical Assistance Services, Department of

Page 289, after line 18, insert:
"RR.  The Department of Medical Assistance Services (DMAS) shall develop a plan to amend the State Plan for Medical Assistance or submit a research and demonstration project waiver pursuant to Section 1115 of Title XIX of the Social Security Act, as amended, to implement a system of monetary incentives for Medicaid recipients to make healthy decisions and to engage in self-management of their healthcare, and the deposit of incentive funds in enhanced benefits accounts to be accessed by enrollees to purchase healthcare services or items that are not covered under Virginia Medicaid and which will assist enrollees in being personally responsible for their own healthcare.  The plan shall include the development of necessary changes in funding, law or regulations for the implementation of the changes.  The plan is to be submitted to the Governor, the Secretary of Health and Human Resources, the Joint Commission on Health Care, and the Chairmen of the House Appropriations and Senate Finance Committees by October 30, 2008, for consideration in the development of amendments to the 2008-10 Appropriations Act."

(This amendment directs the Department of Medical Assistance Services to develop a plan to implement a program through Medicaid which would provide incentives to Medicaid recipients to make healthy decisions which positively impact their health. Language is added to allow for the development of either State Plan amendments or a waiver program to implement the program. Such incentives should assist the Medicaid program in avoiding future health care costs. Wellness programs are estimated to return approximately $3 to $8 for every dollar invested in the program.)