Medicaid Managed Care - U.S. Senate Special Committee on Aging
Medicaid Managed Care - U.S. Senate Special Committee on Aging Medicaid Managed Care - U.S. Senate Special Committee on Aging
due to a host of complex demographic factors, including the increased longevity of individuals with severe disabilities and the higher expectations of families that have had access to early intervention and special education services during their children's formative years. Public developmental disabilities systems face a turbulent, challenging and unsettled future. At stake is their ability to respond to the critical needs of individuals and families in a timely, reliable, and effective manner. The widening gap between available resources and consumer demand is confronting state and local officials with thorny policy choices. Should the gap be closed by narrowing eligibility for services? Should the range of services and supports be cut back? Should access to certain services be narrowed? Should systems operate on a triage basis? . nese choices have enormous implications for the future role and mission of public 838 developmental disabilities systems. There is a distinct possibility that public developmental disabilities systems will be swept up in broader statewide managed care initiatives. If so, the result could be narrower access to specialized developmental disabilities services and the substitution of generic assistance that is not well suited to the purpose. There are legitimate fears that under managed care, essential values - individual and family choice, community integration, and person-centered service delivery -- would be subordi-nated to economic interests. The application of managed care concepts and approaches must be based on solid public policy principles, goals, and objectives.
Fee-for-service payment systems penalize service providers for using dollars more efficiently and create other barriers to flexibility and agility in delivering person-centered supports. The regulation of service systems remains grounded in process and paper. New approaches to Fewarding exemplary performance and achIev- Ing valued outcomes must be developed. As a result of federal policies and other factors, many public developmental disabilities systems are over-invested in costly service models. The financial burden of maintaining such models has foreshortened the capacity of service systems to respond to the needs of youth transitioning from school to adulthood or to step in promptly to meet the needs of individuals when their families no longer are able to provide supports. States need to acceler- -ate the shift away from costly service models by emphasizing publicly-funded 839 supports that are blended with other natural and community supports. System change is threatening. It is marked by turbulence and uncertainty. However, it is abundantly clear that, unless productivity Is Improved, public developmental disabilities systems will be less and less able to-carry out their mission. Waiting lists will become longer and longer. It will become increasingly difficult to provide high quality services and supports. Maintaining the status quo will have partlculary disastrous consequences for people who need supports but are locked out of the service system. System change must be anchored in and constantly referenced to the essential mission of public systems: supporting people with disabilities to live everyday lives in their communities. System change must be continuously informed by person- and family-centered values. A MANAGED CARE APPROACH TO RESTRUCTURING SERVICE SYSTEMS The intelligent, informed, value-based adaptation of managed care approaches can serve as a platform for reconfiguring and, thereby, improving the productivity of rpub~i-caevelopmental disabifties systems and strengthening the emphasis on valued outcomes.
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due to a host of complex demographic<br />
factors, including the increased l<strong>on</strong>gevity<br />
of individuals with severe disabilities and<br />
the higher expectati<strong>on</strong>s of families that<br />
have had access to early interventi<strong>on</strong> and<br />
special educati<strong>on</strong> services during their<br />
children's formative years.<br />
Public developmental disabilities systems<br />
face a turbulent, challenging and unsettled<br />
future. At stake is their ability to resp<strong>on</strong>d to<br />
the critical needs of individuals and families<br />
in a timely, reliable, and effective manner.<br />
The widening gap between available resources<br />
and c<strong>on</strong>sumer demand is c<strong>on</strong>fr<strong>on</strong>ting<br />
state and local officials with thorny<br />
policy choices. Should the gap be closed<br />
by narrowing eligibility for services? Should<br />
the range of services and supports be cut<br />
back? Should access to certain services be<br />
narrowed? Should systems operate <strong>on</strong> a<br />
triage basis?<br />
. nese choices have enormous implicati<strong>on</strong>s<br />
for the future role and missi<strong>on</strong> of public<br />
838<br />
developmental disabilities systems.<br />
There is a distinct possibility that public<br />
developmental disabilities systems will be<br />
swept up in broader statewide managed<br />
care initiatives. If so, the result could be<br />
narrower access to specialized developmental<br />
disabilities services and the substituti<strong>on</strong><br />
of generic assistance that is not well<br />
suited to the purpose. There are legitimate<br />
fears that under managed care, essential<br />
values - individual and family choice,<br />
community integrati<strong>on</strong>, and pers<strong>on</strong>-centered<br />
service delivery -- would be subordi-nated<br />
to ec<strong>on</strong>omic interests.<br />
The applicati<strong>on</strong> of managed care c<strong>on</strong>cepts<br />
and approaches must be based <strong>on</strong> solid<br />
public policy principles, goals, and objectives.<br />
<str<strong>on</strong>g>Managed</str<strong>on</strong>g> care can work in the best<br />
interests of individuals and families <strong>on</strong>ly<br />
when it is employed as an instrument to<br />
secure improved efficiency, measured<br />
against performance and outcome standards<br />
that embrace essential policy goals<br />
and values.<br />
THE SYSTEMS CHANGE AGENDA<br />
If public systems are to keep faith with their<br />
fundamental missi<strong>on</strong> of furnishing effective<br />
supports to people with developmental<br />
- disabilities-and their families, all system<br />
stakeholders must c<strong>on</strong>fr<strong>on</strong>t today's<br />
harsh realities and agree <strong>on</strong> systematic<br />
changes that will place such systems in a<br />
the problem by narrowing eligibility or c<strong>on</strong>straining<br />
access to essential services.<br />
Faced with the prospect of capped funding<br />
and rising demand, public systems must<br />
adopt "what's needed, no more, no less"<br />
as a practical operating philosophy.<br />
better positi<strong>on</strong> to carry out their missi<strong>on</strong>. Current public systems are burdened with<br />
The c<strong>on</strong>sequences of failing to act are very both state- and federally-imposed rules,<br />
high. regulati<strong>on</strong>s, and funding methods that create<br />
enormous barriers to the cost-efficient deliv-<br />
A central element In this system change ery of services and supports to individuals<br />
agenda must be productivity Improve- With disabilities and their families. Funding<br />
ments - i.e., optimizing services and out- streams are categorical and fragmented.<br />
comes within the c<strong>on</strong>straints of a global Slot management approaches often result in<br />
Jget. The resolute pursuit of this objec- a '<strong>on</strong>e size fits air system which furnishes<br />
tive is absolutely necessary if public systems people with what is available not what is<br />
are to withstand pressures to define away most cost-effective or what they really want.<br />
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