Governor Cuomo’s Medicaid Redesign Team has developed a groundbreaking action plan that would allow the state to reinvest in its health care infrastructure, encourage innovation and prepare for national health care reform – while addressing the cost curve for the state’s overall health care system.

New York recently submitted an application for a Medicaid 1115 waiver that would allow the state to invest over a five-year period up to $10 billion in savings generated by the state’s Medicaid Redesign Team (MRT) reforms. The savings are part of an estimated $17.1 billion in federal savings generated by MRT reforms and would be used to implement an action plan to transform the state’s health care system.

Under the waiver, the state would be able to fully implement the MRT action plan and ensure that the value to New York of the federal Accountable Care Act would be maximized. The state is hoping for approval by the end of the year. Approval of the waiver would result in opportunities for providers to receive funding for various projects.

The following is a list of major initiatives that the state would like to fund:

  • Increasing primary care capacity and accessibility, including capital investment, operational assistance and health information technology assistance
  • Further implementation of “health homes” for Medicaid enrollees with chronic conditions
  • Seed money for innovative new care models proposed by practitioners, health care agencies and other external stakeholders
  • Expanding the vital access/safety net program designed to assist uniquely situated and financially challenged health care providers
  • Public hospital innovation to test innovative payment and service delivery models to improve care within the public hospital setting
  • Expanding Medicaid supportive housing
  • Transforming the long-term care system to support consumer choice, community integration and successful implementation of managed care and case management
  • Capital stabilization for safety net hospitals
  • Transforming hospitals into effective integrated delivery systems
  • Health workforce development
  • Integrating into the Medicaid program evidence-based public health prevention programs in asthma, diabetes, lead poisoning, water fluoridation and hospital-acquired infections
  • Regional health planning

Additional information on the waiver can be found at: