United States

Creating lasting change: A state-level approach to healthcare delivery system reform efforts

Apr 22, 2015
From the Government Institute

Within Medicaid, New York State incurs some of the highest costs in the country, with only average health outcomes and below average performance on prevention and avoidable hospital use and cost.

To address the issue, the state formed a Medicaid Redesign Team that attacked wasteful spending and imposed a global spending cap, resulting in several billion dollars in savings. Then in 2014, New York Governor Andrew M. Cuomo announced that the state had finalized terms and conditions with the federal government for a ground breaking waiver that will allow the state to reinvest $8 billion in federal savings generated by the redesign team’s reform. The waiver funds will address critical issues throughout the state and allow for comprehensive reform through a Delivery Systems Reform Incentive Payments (DSRIP) program.

This KPMG Government Institute issue brief explains how New York State’s DSRIP program is one of the nation’s biggest and boldest efforts to move the needle on healthcare outcomes and create a financially sustainable healthcare safety net system.

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