Ann & Natalie's Compliance Corner
Welcome back to Ann and Natalie's Compliance Corner! This month, we report on a recent announcement from the Department of Health and Human Services (DHHS) to provide awards of $103 million to states to support innovative systems to get more value out of Medicaid dollars. Missed last month's guidance on the release of the final rules on complying with the Health Insurance Portability and Accountability Act's (HIPAA) nondiscrimination provisions? Click here.
On January 25, 2007, DHHS Secretary Michael Leavitt announced the provision of grants totaling $103 million to be used by twenty-seven states to improve Medicaid program efficiency. Created as part of Congress' approved $150 million "transformation grants", the initial award will be followed with a $47 million solicitation later in the year and will be distributed over fiscal years 2007 and 2008.
Permissible uses for the grant funds include:
- reducing patient error rates through the implementation of technology;
- improving rates of collection from estates of amounts owed under Medicaid; and
- minimizing waste, fraud, and abuse under Medicaid, including reducing improper payment rates.
"These transformation grants express the core goal of this administration to give states the kind of flexibility they need to deliver high quality care in an efficient and economical way," Secretary Leavitt said. "With these grants states can streamline and modernize their systems, stabilize the exponential growth of the program, and protect it into the future."
The awards granted to states vary depending on the amount of each state's specific application, with some states submitting more than one grant proposal for the funding of individual projects. Among those receiving grants are:
- Alabama (Together for Quality -Health Information Systems - $7.5 million);
- Arizona (Medicaid Health Information Exchange Utility Project - $11.7 million);
- District of Columbia (Comprehensive Medicaid Integration - Patient Data Hub - $9.8 million); and
- New York (Fingerprint Authentication at Point of Service - $5.5 million).
State matching funds are not required to receive these special grants.
For more information on the grants and how state Medicaid agencies can apply for the next round of awards, click here.
To read DHHS' press release, click here.
Disclaimer: The content of Compliance Corner is for general informational purposes only and should not be interpreted as compliance guidance or advice. Consult your compliance advisor or attorney for compliance or legal advice on specific issues related to your practice or compliance program.
