GRANT FUNDS FOR THE ESTABLISHMENT OF ALTERNATE NON-EMERGENCY SERVICE PROVIDERS OR NETWORKS OF SUCH PROVIDERS The Deficit Reduction Act of 2005 provides unprecedented flexibility for States in the areas of health opportunity accounts, benchmark benefits, and alternate cost-sharing. States were concerned with increasing health care costs and sustaining their Medicaid programs. Congress enacted the Deficit Reduction Act and it was signed into law on February 8, 2006. Section 6043 of the Deficit Reduction Act adds a new subsection 1903(y) to the Social Security Act and provides funding in the amount of $50 million in Federal grant funds to States to establish alternate non-emergency service providers or networks of such providers. The new alternate cost sharing provisions provide that States can impose higher cost sharing for non-emergency use of the hospital emergency room. These grant funds will allow States to establish alternate non-emergency service providers so that treatment can be received in alternative settings for the same condition and with potentially lower cost sharing obligations for beneficiaries. On April 15, 2008, $50 million in grants was awarded through a competitive process to twenty (20) State Medicaid agencies for a two-year period. Please click on one of the downloads below to view: - A chart of the FY 2008 Grant Awards; or - A summary of each of the FY 2008 funded projects. - The narratives of each of the grant proposals that were awarded funding. Downloads | ER Diversion Grant Narratives C through M [ZIP, 1567 KB]
ER Diversion Grant Narratives N through Z [ZIP, 1193 KB]
2008 Emergency Room Diversion Grants Chart [PDF, 35KB]
Summary of 2008 Emergency Room Diversion Grants [PDF, 76KB]
| Related Links Inside CMS | April 17. 2008 Press Release Regarding Grant Awards
August 15, 2007 State Medicaid Directors Letter
Grant Funding Announcement
Attachment 4.18H Regarding Hospital Cost-Sharing for Non-Emergent Services
| Related Links Outside CMS | | Deficit Reduction Act of 2005
CDC National Health Statistics Report No.7: 2006 Emergency Department Summary
CDC National Center for Health Statistics Emergency Department Visits Data
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