HHS Approves Innovative Medicaid Reform Demonstration in Florida

HHS Secretary Mike Leavitt today approved an innovative Medicaid reform plan that will allow Florida beneficiaries to choose health care plans that best suit their needs, for the first time introducing competition and consumer choice to this government-funded health care program.

“Introducing competition and consumer choice will improve quality of care and empower Florida’s 2.2 million Medicaid beneficiaries,” Secretary Leavitt said. “I commend Governor Bush for his leadership in transforming his state’s program.”

Enrollees will play a more active role in deciding how they will receive health care by selecting from a group of state-approved managed care plans that will compete for their business. Beneficiaries will have up to 30 days to choose a health plan. If no plan is chosen, the beneficiary will be automatically enrolled in a plan selected by the state.

“The Florida demonstration will be very valuable in informing the national dialogue about reforming Medicaid to better serve the people who count on it,” said Mark B. McClellan, M.D., Ph.D., administrator of the Centers for Medicare & Medicaid Services, (CMS) the agency which oversees the Medicaid program. “Florida is working to make the current Medicaid system more efficient, but more importantly, Florida is working to give people access to care that better reflects their own health needs and preferences. This demonstration provides a framework for improving care and making Medicaid more sustainable without eliminating services or restricting eligibility.” ...

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U.S. Department of Health & Human Services

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