Office of Health Transformation Update January 12, 2016
Align Payment Innovation Priorities
Across the United States, there is growing consensus that changing the way we pay for health care is a critical factor in decreasing costs and improving health outcomes. In 2013, Governor Kasich convened a CEO-level Advisory Council on Payment Innovation to help transform Ohio from volume-based fee-for-service payments to value-based payments that reward better health outcomes. The council identified experts to assist the state in designing value-based payment models that (1) support patient-centered medical homes and (2) reduce the incentive to overuse unnecessary services within high-cost episodes of care. Together, these models have the potential to benefit up to 90 percent of the state's population by paying for what works to maintain and improve health while holding down the total cost of care.