·         The U.S. health care system is undergoing dramatic changes driven by increasing needs and escalating costs, exacerbated by the large proportion of uninsured and lack of coordination within the system. 2010 Patient Protection and Affordable Care Act:  Implications for Arkansas

·         Arkansas consistently ranks at the bottom of national health indicators.

·         Currently, there are nearly 2 million cases of seven common chronic diseases (i.e. cancer, diabetes, heart disease, hypertension, emotional disturbances, etc.) in Arkansas.

·         The estimated annual cost of chronic disease in Arkansas is more than $20 billion in treatment expenditures and lost productivity.

·         Nearly 500,000 Arkansans—mostly between the ages of 19 and 64—do not have health insurance.  The severity and cost of many illnesses could be reduced or even prevented by making it easier for people to get the medical care they need sooner.

·         Providing care to the uninsured results in higher costs and insurance rates for everyone.

·         Our current Medicaid program is unsustainable with an expected budget shortfall of $60 million next year and more than $200 million by 2013.

·         Arkansas has decided to proactively shape the future of our health system and is undertaking six important activities necessary to prepare the state for the demands of the 21^st Century.  A vision for a future Arkansas health system as depicted in a short video has been developed to guide this work.

1.       Electronic Health Records (EHR )

·         Using federal American Recovery and Reinvestment Act funds, Arkansas, through the Arkansas Foundation for Medical Care, is recruiting clinicians across the state to adopt electronic health records and convert their practices from a paper based system to one that uses technology to assure high quality care and increased cost efficiency.

2.       State Health Alliance for Records Exchange (SHARE)

·         The Office of Health Information Technology (OHIT) is developing the mechanism to support the secure electronic exchange of medical records and additional information between hospitals, providers, and pharmacists, thereby potentially reducing medical errors, duplicate tests and cost.  This vital sharing of information will provide peace of mind for patients who want secure access to their medical information and to providers who need complete medical records for treatment of patients.

3.       Health Benefits Exchange (HBE)

·         As part of the federal Patient Protection and Affordable Care Act, the Department of Insurance is leading planning for a trusted, easy-to-use marketplace where individuals, families and small businesses can quickly compare affordable, high quality health insurance coverage plans and enroll in a plan that best meets their needs.   With increased health coverage across the state, we can expect improved health outcomes, decreased uncompensated care and decreased health related financial risk for individuals and small businesses.

4.       Workforce Strategic Plan (WSP)

·         Arkansas does not have an adequate health care workforce in many areas of the state.  Thoughtful planning now provides an opportunity not only to ensure adequate future access to health care but to create a system of care that is less costly, more efficient and capable of dramatically improving the health and productivity of Arkansans.

5.       Payment System Improvement (PSI)

·         Public and private health care payors in Arkansas are undertaking new payment strategies to ensure that health care is affordable for individuals, businesses and the state, and financially sustainable over the long-term.  These strategies will be designed to improve quality and allow for better management of costs by making it easier for medical, behavioral and community health professionals to work together more efficiently.  Better care coordination is key to ensuring patients receive all the services necessary to prevent costly illnesses and avoid unnecessary hospital visits. 

6.       Medicaid Management Information System (MMIS)

·         The Arkansas Medicaid program is replacing its antiquated information system with a 21^st Century model to facilitate better care management and coordination.  This will improve the state’s ability to identify and support the needs of enrollees in funded programs.