Managing Medicaid Managed Care: New State Strategies to Promote Accountability and Performance
As the scope of State Medicaid agencies becomes wider and more complex, states are increasingly turning to managed care organizations (MCOs) to cover Medicaid enrollees, including those with complex needs. This shift from a fee-for-service, volume-based payment model requires states to effectively manage MCOs and other vendors. With states facing tight budgets, limited staff, and limited resources to manage these changes, many are seeking new information and resources to help them transition to more effective oversight. The steady geographic growth of MCOs and Medicaid expansion under the ACA brings a new urgency to many states as they search for new and better strategies to maximize their MCOs.
Managing Medicaid managed care programs requires continued state agency focus and vendor management. Even states that have successfully implemented managed care evolve to increase program effectiveness over time and improve the state’s partnership with their plans. To assure these programs achieve effective and efficient care, states are moving to value-based purchasing (VBP). Under VBP the purchasing agent (i.e., Medicaid agency) seeks to manage vendors (i.e. MCOs) to produce maximum value for Medicaid. A VBP approach holds vendors accountable for outcomes. It is not a single strategy but rather an approach that requires complex new financial arrangements, different oversight and engagement, and new procurement and contracting strategies.

For individuals living with complex, often chronic conditions, and their families, palliative care can provide relief from symptoms, improve satisfaction and outcomes, and help address critical mental and spiritual needs during difficult times. Now more than ever, there is growing recognition of the importance of palliative care services for individuals with serious illness, such as advance care planning, pain and symptom management, care coordination, and team-based, multi-disciplinary support. These services can help patients and families cope with the symptoms and stressors of disease, better anticipate and avoid crises, and reduce unnecessary and/or unwanted care. While this model is grounded in evidence that demonstrates improved quality of life, better outcomes, and reduced cost for patients, only a fraction of individuals who could benefit from palliative care receive it. 























































































































































