Rhode Island Health Care Cost Trends Steering Committee FIRST MEETING, AUGUST 29, 2018
Agenda 1. Welcome and Introductions 9:00 am – 9:15 am 2. Cost Trends Project Overview 9:15 am – 9:40 am 3. Cost Trends Project Context 9:40 am – 9:55 am 4. Data Analysis Goals and Plan 9:55 am – 10:30 am 5. Break 10:30 am – 10:45 am 6. Cost Growth Targets – Introduction 10:45 am – 11:40 am 7. Public Comment 11:40 am – 11:55 am 8. Next Steps and Wrap-Up 11:55 am - noon 2 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Welcome and Introductions
Steering Committee Members (1 of 2) Kim Keck | President and CEO | Blue Cross & Blue Shield of Rhode Island Co-Chair Al Kurose, MD | President and CEO |Coastal Medical Co-Chair Tim Babineau, MD |President and CEO| Lifespan Al Charbonneau | Executive Director | RI Business Group on Health David Cutler, PhD | Harvard College Professor | Harvard University Adriana Dawson | VP, Community Development | Bank Newport James Fanale, MD | CEO | Care New England Stephen Farrell | CEO | UnitedHealthcare of New England Marie Ganim, PhD | Commissioner | Office of the Health Insurance Commissioner Peter Hollman, MD | President-elect | RI Medical Society STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE 4
Steering Committee Members (2 of 2) Christopher Koller | President | Milbank Memorial Fund Betty Rambur, PhD, RN, FAAN | Professor of Nursing | URI College of Nursing Samuel Salaganik, Esq. | Attorney & Health Policy Analyst |RI Parent Information Network John Simmons | Executive Director | RI Public Expenditure Council Neil Steinberg | President & CEO | Rhode Island Foundation Teresa Paiva Weed, Esq. | President | Hospital Association of Rhode Island Lawrence Wilson | Managing Director| The Wilson Organization, LLC STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE 5
Staff Supporting the Health Care Cost Trends Project State of Rhode Island Brown University Cory King | Principal Policy Associate |OHIC Ira Wilson | Professor and Chair of the Department of Health Services, Policy and Kim Paull | Director Data Analytics |EOHHS Practice Jaclyn Porfilio | Policy Advisory| Governor’s Office Anya Rader Wallack | Associate Director, Center for Evidence Synthesis in Health Bailit Health Megan Cole | Assistant Professor |Department of Health Law, Policy and Management |Boston Michael Bailit | President University School of Public Health Megan Burns | Senior Consultant Erin Taylor |Senior Consultant Justine Zayhowski | Consultant 6 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Project Support The Peterson Center on Healthcare is providing support for this project through June 30, 2019. The Peterson Center on Healthcare was established by the Peter G. Peterson Foundation to transform US healthcare into a high- performance system by finding innovative solutions that improve quality and lower costs and accelerating their adoption on a national scale. 7 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Cost Trends Project Overview
Vision Statement Executive Governor’s To provide Rhode Island Office of Office Health and citizens with high-quality, Human affordable health care Services through greater transparency of health care performance and increased accountability Office of Health Insurance by key stakeholders Commissioner – Peterson Grant Application 9 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Project Goals 1. Reduce growth in health care costs by: Executive Governor’s Office of Office ◦ developing a cost growth target, and Health and Human ◦ providing transparent health care Services performance data to influence purchasing decisions and care delivery reforms. 2. Develop a deeper understanding of cost Office of Health Insurance drivers and cost variation in Rhode Island. Commissioner 3. Determine what investments are needed to sustain ongoing analysis. 10 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Cost Trends Project Work Streams The methodology for a health care cost growth Executive Governor’s target will be developed for operationalization Office of Office Health and in 2019 Human Services Brown University will conduct a data analysis z to measure health care system cost performance Office of Health Insurance A data use strategy will be developed to Commissioner leverage the RI APCD in identifying cost drivers and sources of cost growth variation to improve health care system performance 11 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Steering Committee Charge The Steering Committee will specifically advise the State on: 1. the methodology to measure and report on the total cost of health care in Rhode Island; 2. the methodology to establish an annual health care cost growth target to first employ in 2019; 3. how to analyze and report publicly on state, insurer and provider performance relative to the target; 4. a data analysis plan designed to measure health system cost performance on a pilot basis during 2018-19, and 5. a data analysis and use plan to guide future, ongoing analysis of cost growth drivers and sources of cost growth variation. 12 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Steering Committee Charge, cont’d • By agreeing to serve on the Steering Committee, you are committing to participate in a thoughtful and respectful process to consider the Steering Committee’s charge and make recommendations to the State. • The scope of work is considerable and will be fast- paced. In order to facilitate progress, staff will prepare content to which you can respond. Please come to each meeting prepared, to the extent material was shared with you in advance. 13 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Cost Trends Project Timeline Aug Sept Oct Nov Dec Jan Feb Mar Apr May June Stake- Cost Growth Develop Methodology holder Finalize Target Input Stake- Data Use Explore Options for Data Analysis by State, Payers holder Finalize Recommendations and Providers Strategy Input Public Meeting to Conference on Community Discuss Data Data Use Engagement Analysis and Strategies Strategies Review Review Initial Data Review Final Data Analysis z Plan Analysis Data Analysis 14 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Cost Trends Work: Context
2016 Planning • During 2016 a large public stakeholder group wrestled with how to pursue a cost trend target for Rhode Island as a means to contribute to slowed cost growth • Later in the year, Governor Raimondo invited a small group of stakeholders to provide her with advice on how best to fashion a cost growth target for Rhode Island. Some of the members of this steering committee participated in that effort. • The work resulted in December 2016 recommendations to the Governor. • The recommendations included the following: ◦ The State should only pursue a cost growth target strategy...if it takes parallel action to...rigorously analyze drivers of cost and cost growth... • Further work was delayed until the Peterson Foundation agreed to fund the analysis of cost and cost growth drivers, and development of a plan for sustaining this work into the future. We are now beginning the work anew! 16 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
2016 Planning and Today • Several Steering Committee members participated in the 2016 process. • The new process is different than that of two years earlier in three important ways: • The Peterson Foundation, through its Center on Healthcare, is providing financial support for robust data analysis to understand cost drivers and to develop a plan for sustained data analysis activity into the future. • The small planning group of 2016 has been expanded to include a diverse set of interests and perspectives. • More is known about the experience of Massachusetts, and Delaware has since undertaken its own cost growth target and data analysis strategy. 17 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Data Analysis Goals and Plan OVERVIEW OF BROWN’S PROPOSED ANALYSIS
Agenda ➢ Long-term goals ➢ Short-term goals ➢ Analytic methodology: ▪ Study population ▪ Patient attribution ▪ Data sources Proposed ▪ Outcome definitions approach ▪ Analytic approach, Aim #1: cost trends ▪ Analytic approach, Aim #2: cost drivers ▪ Analytic approach, Aim #3: deconstructing cost by price and volume 19 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Long-term goals To determine: ▪ What type of data analysis on health care performance needed to inform purchasing decisions and care delivery reforms ▪ What investments are needed to ensure sustainability of analysis 20 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
Short-term goals To analyze RI all-payer claims database (APCD) to identify cost trends and select drivers of cost: ▪ Aim #1: To assess cost trends in RI ▪ Aim #2: To assess select cost drivers in RI ▪ Aim #3: To further deconstruct cost by volume and price 21 STATE OF RHODE ISLAND SUPPORT PROVIDED BY THE PETERSON CENTER ON HEALTHCARE
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