A provision in the health reform law extends the Money Follows the Person (MFP) Rebalancing Demonstration program for another five years, until 2016.
The Centers for Medicare and Medicaid Services (CMS) sent a letter (pdf) to state Medicaid directors in an effort to get states to participate. To make it easier for the 29 states (and the District of Columbia) that took part in the original MFP demonstration to do so again, the agency has streamlined the enrollment process significantly.
States that did not participate in the initial MFP demonstration can apply for the second phase. CMS plans to post guidelines later in July on how these states can apply, and will select states on a competitive basis.
The MFP demonstration program provides funding to states to facilitate the development of community-based long-term care programs instead of institutional care to provide services and supports to elders and people with disabilities who receive Medicaid.
Benefits to States that Participate
In late June, CMS sent a letter to state Medicaid directors to highlight the advantages of participating in the extended MFP program, including:
- enhanced Federal Medical Assistance Percentage rate for qualified services;
- national technical assistance and supplemental services;
- full reimbursement for some administrative costs; and
- reimbursement of home and community-based services and demonstration services at an enhanced rate.
Congress authorized the MFP program to be extended until 2016 and provided $2.25 billion. The initial five-year MFP demonstration had a $1.75 million budget and was set to expire in 2011.
Inside Health Policy reports that the MFP program made it possible for 6,000 people to move from institutional to community-based care by 2009.
PHI Provides Technical Assistance to MFP Program
“We were very pleased that Congress decided to extend the MFP demonstration program in health reform,” said PHI National Policy Director Steve Edelstein. “MFP has been an important vehicle not only for expanding home and community-based services but also for states to pursue initiatives for support and an adequate and stable workforce to provide those services.”
For the past year, PHI has been providing technical assistance on workforce issues to a number of state MFP grantees through the Direct Service Workforce Resource Center. The PHI policy team has been helping with workforce data collection and monitoring, providing guidance on procurement and incentive payment polices, and providing support for entry training programs.
PHI National Director of Curriculum & Workforce Development Peggy Powell is working with MFP demonstration staff in the District of Columbia, by assisting in the development and implementation of a values-based pilot training program for community-based, direct-support workers and other provider agency staff.
The goal of the training is to increase the trainees’ understanding of a person-centered approach in meeting the needs and preferences of their program participants and supporting fuller community integration.
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Powell noted, “During our recent interviews with community residence and day program staff, we consistently heard them express how important it is to provide this opportunity and choice for consumers, and the need to help direct-support staff develop the knowledge and skills necessary to achieve MFP’s vision for full community integration.”
– by Deane Beebe





