Current Innovations

The Centers for Medicare & Medicaid Services (CMS) Financial Alignment Initiative is testing two models to better integrate primary, acute, behavioral health, and long-term services and supports, providing participating states to share in savings. Fifteen states were awarded demonstration contracts, and implementation began in 2013. The two models include (1) a prospective blended rate model for select health plans to provide both Medicare and Medicaid benefits to duals called the "capitated model", and (2) a model that allows the state to take responsibility for coordinating the beneficiary's care, called a "managed fee-for-service model". As of December, 2015, nine states were participating in the capitated model and two in the managed fee-for-service model. An October, 2015 report prepared by RTI international provides interim findings.

Link to the report: Report on Early Implementation of Demonstrations under the Financial Alignment Initiative