CASE STUDY
| A Case Study in Innovative, Cost-effective and Accountable Public Service |
Imagine living in a county where all of the local government services your taxes pay for are delivered through fully independent public agencies. Whether its your local school district, trash collector, vehicle licensing agency or department of public works, each agency meets you and your familys needs through the most efficient, least bureaucratic methods 0f operation. And because each agency is 100 percent accountable to the government and tax-paying public, it does not exceed its operating budget or compromise its services. Best of all, by providing its respective services through a collaboration with businesses in your area, each agency actually contributes to the local economy.
While the above scenario may sound too good to be true, it illustrates a few of the main benefits of the County Organized Health System. Consider these unique COHS attributes:
- 100 Percent Accountability With its state contract providing the only significant source of revenue, each COHS is a fiscally-sound, federally-approved public entity. While they function very similarly to a private business, each COHS is required to meet stringent state and federal regulations, covering operations, financial stability and consumer protections. They also are audited by the state each year the results of which are a matter of public record.
- More Dollars for Health Care With administrative costs typically ranging between five and nine percent of their annual budgets, the County Organized Health Systems are among Californias most administratively efficient health plans. (In fact, Californias five COHS plans are among the states most efficient public entities overall!) Unlike commercial health plans, the non-profit COHS models do not incur heavy advertising and marketing expenditures. Nor do they have owners or share holders for whom profits are generated and paid out. Best of all, each COHS charter to exclusively serve the needs of its local Medi-Cal population precludes it from compromising services for financial gains.
- Local Autonomy & Flexibility Each County Organized Health System determines the best way to provide health care services to its Medi-Cal beneficiaries. They generally utilize an "any willing provider" contracting philosophy, ensuring extensive access through physicians, hospitals and pharmacies. In addition, they each provide coverage through partnerships with local Health Maintenance Organizations (HMOs); or administer Medi-Cal benefits through a combination 0f models.
- Local Community Involvement & Governance Reflecting the models emphasis on innovation through public/private collaboration, each COHS organization is managed by a board of directors that includes representatives from the local political, business, medical and consumer communities.
- A Forum for Public Input In addition to providing plan members with opportunities to voice their points 0f view regarding the care they receive, local citizens have an opportunity to attend COHS board meetings and provide input on how their respective plan is administered.
- A Deterrent Against Fraud and System Abuse Through local management of most of its countys Medi-~al funds, each COHS plan can effectively monitor Medi-Cal pay-outs and case management practices, protecting the integrity of the plan against fraudulent practices.