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Oregon CCO Plan Gets Federal Money
The Obama administration is buying into an ambitious health care initiative in Oregon, to the tune of $1.9 billion over five years.
The U.S. Department of Health and Human Services said Thursday
it has tentatively agreed to help Oregon pay the startup costs of a
plan that would improve coordination among care providers and
better manage chronic conditions for 600,000 patients in the
state's Medicaid program.
The move shows that the federal government believes the concept
has potential to save money. State officials estimate the plan will
save $11 billion over the next decade through a reduction in
duplicated treatments and unnecessary hospitalizations.
Democratic Gov. John Kitzhaber hopes to prove that states can
save billions of dollars on Medicaid without sacrificing the
quality of health care.