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News Release

FOR IMMEDIATE RELEASE
Monday, February 12, 2007

Contact: HHS Press Office
(202) 690-6343
Lydia Lenker
(615)741-3763

Tennessee Commits to Cornerstones of Better Health at Lower Cost

The State of Tennessee today joined the nationwide initiative on value-driven health care, joining major private employers who have expressed support since the effort was launched by HHS Secretary Mike Leavitt last November.

“Transparency in health care pricing and services is critical to both improving the quality of care Tennesseans receive, and to lowering the overall cost of health care for all Tennesseans,” said Governor Bredesen.  “It’s important that people know how much health care services cost – and what they are getting for the price.  I would like to personally thank Secretary Leavitt for his leadership in this area.”               

 “At this point, aggressive efforts are underway to invite all of America’s public and private sector employers to join the federal government in committing to four cornerstone actions to achieve better health care and lower health costs,” Secretary Leavitt said. “Employers can help their employees identify and select high quality health care at competitive prices. And when a substantial number of employers commit to these improvements, our health care system as a whole will improve for all Americans.”

Secretary Leavitt made these remarks before Governor Bredesen signed a statement of support committing the state to the four cornerstone actions in the health insurance it provides to state employees. Representatives of Tennessee businesses and health care organizations were also in attendance and expressed support for today’s action.

The four “cornerstone” actions are: public reporting of the quality of care delivered by health care providers; public reporting of the price of care; commitment to health information technology standards; and commitment to use incentives for high quality care, competitive costs and consumer choice.

The federal government was the first to embrace the four cornerstone commitments, with President Bush’s Aug. 22 Executive Order. This action committed federal health programs (including Medicare, Veterans Affairs, Indian Health Service and the Federal Employees Health Benefits program) to the “cornerstone” actions.
Secretary Leavitt has expressed the goal of achieving commitments by next spring from enough private and public employers to represent 60 percent of all insured Americans.

A key part of the initiative for value-driven health care is the adoption of consistent and reliable standards for quality and cost measurement to enable consumers, health providers and payers alike to compare the quality and value of services. Secretary Leavitt said that the initiative depends on collaboration between stakeholders in the employer, health care provider and insurer communities. He also noted that development of quality measures is being carried out with the leadership of the nation’s leading health care provider organizations.

“This initiative is about getting quality care, and the quality measures that are created will be crucial for achieving better care at lower costs for the people of Tennessee and all Americans,” Secretary Leavitt said.

For more information on this initiative, go to www.hhs.gov/transparency.

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Note: All HHS press releases, fact sheets and other press materials are available at http://www.hhs.gov/news.

Last revised: February, 12 2007

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