Few Medicaid Plans Have Value-Based Reimbursement For Addiction Treatment

Few states have Medicaid value-based purchasing (VBP) initiatives for addiction treatment and recovery services. As of March 2023, eight states (Arizona, Maine, Michigan, New Hampshire, Pennsylvania, Vermont, Virginia, and West Virginia) had well-developed and ongoing VBP initiatives for addiction treatment. Of the remaining states, 22 used VBP for some aspects of addiction treatment or recovery services, and 20 states were not using VBP for these types of programs. About half of states (24) had some addiction treatment-related performance measures for quality payment incentives in their Medicaid program.

For this analysis, VBP initiatives were grouped into the four . . .