Workforce Implications of the Delivery System Reform Incentive Payment Program

Policy Updates

By The Greater New York Hospital Association


On April 14, 2014

New York State finalized the Medicaid Redesign Team (MRT) waiver with the federal government, which allows the State to reinvest $8 billion in federal savings generated by MRT reforms. The waiver allows for comprehensive reform through a Delivery System Reform Incentive Payment (DSRIP) program which will focus on system reform with a goal to reduce avoidable hospitalizations by 25 percent over five years. The DSRIP program aims to encourage community-level collaboration in order to improve care and health and to reduce costs. The DSRIP program will require collaboration across providers, emphasizing the need for better coordination and integration throughout the continuum of care. There may also be a shifting of patients from the inpatient setting to the outpatient setting as providers work towards reducing avoidable hospitalizations by 25 percent.

Delivery system transformation will depend on and directly impact the health care workforce. These delivery system changes will require physicians, nurses, and other members of the health care team to take on new responsibilities to support this effort. DSRIP is also expected to entail the addition of new workers for newly developed roles. All of this new effort will require extensive training and retraining. In anticipation of these workforce changes, each proposed project will be required to submit a comprehensive workforce strategy as part of their DSRIP application. Applicants will need to project workforce implications, including employment levels, and identify the types of training that will be implemented to support workers.