CMS to Award States Millions to Implement, Accelerate Health IT Programs

The Centers for Medicare and Medicaid Services (CMS) has freed up $730 million in state grant funding to support states in implementing health IT projects and new payment and delivery models.

This new funding builds on what the agency spent in 2013 helping 25 states with its State Innovation Models program, which helped states implement accountable care organizations (ACOs), medical homes, bundled payment programs, and other initiatives, Health Data Management reported.

According to the CMS announcement, $700 million of the new funds have been designated to help support states joining the “Model Test” program for the first time. The other $30 million will be awarded to new participants, as well as states that have already received funding in 2013, to implement “Model Design” cooperatives.

The announcement also said that Model Test states could receive between $20 million and $100 million per state. To qualify, states must develop a clear health IT plan that includes:

  • Governance
  • Data quality infrastructure to support care and payment
  • Expanding coordination across the care continuum
  • Patient engagement and transparency


States’ proposals to participate in the Model Design program must include strategies for the following areas:

  • Plan for improving population health
  • Healthcare delivery system transformation plan
  • Payment and/or delivery service model
  • Leveraging regulatory authority
  • Health information technology
  • Stakeholder engagement


Click here to read the CMS announcement in full.


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