The Department of Health Care Services (DHCS) is implementing its Equity and Practice Transformation Provider Directed Payment Program (EPT PDP Program) – a $650 million initiative (over 5 years) to advance health equity, reduce care disparities, and fund practice transformations towards value-based care. Through the EPT PDP Program, DHCS aims to allow Medi-Cal providers to better serve California’s diverse Medi-Cal population. ELIGIBILITY Applicants must be: There are no provider size requirements for the EPT PDP Program (only for a related smaller initial planning incentive payments program currently underway). Clinically integrated networks (CINs) and independent provider associations (IPAs) that work with the types of primary care practices listed above may also apply. PROGRAM ACTIVITIES If selected for the EPT PDP Program, participants must prospectively commit to specific activities and milestones, and DHCS will distribute funding based on participant’s achievement of those activities and milestones. Some categories of activities are required, and others are optional. The three required activity categories are: The five optional activity categories are: PROGRAM PAYMENTS The EPT PDP Program is a directed payment program, meaning DHCS will direct Medi-Cal Managed Care Plans to make specific payments to primary care practice participants that qualify for payments by completing required and optional activities. The maximum payment depends on the number of Medi-Cal managed care assigned patients at the time of application and may be reduced based on the number of program activities selected by the provider. The maximums listed below are subject to final CMS approval: TIMELINE Oct. 23, 2023 (at 11:59 pm) – Practices must submit applications for the EPT PDP Program. Nov. 27, 2023 – Deadline for managed care plans to conduct the initial review of applications and make recommendations to DHCS. Dec. 11, 2023 – DHCS announces the selected practices. Jan. 1, 2024 – EPT PDP Program begins, continuing through Dec. 31, 2028. For further information or questions about the EPT PDP Program, please contact Robert Miller or Sandi Krul in Los Angeles, or Michael Shimada in San Francisco, or any member of our Hooper, Lundy & Bookman team.Application Window Closing for California Department of Health Care Services’ $650 Million Funding Opportunity for Primary Care Practices to Advance Health Equity and Fund Practice Transformation
Number of Assigned Medi-Cal (including D-SNP) Members at Time of Application
Maximum Payment
500 – 1,000
$375,000
1,001 – 2,000
$600,000
2,001 – 5,000
$1,000,000
5,001 – 10,000
$1,500,000
10,001 – 20,000
$2,250,000
20,001 – 40,000
$3,750,000
40,001 – 60,000
$5,000,000
60,001 – 80,000
$7,000,000
80,001 – 100,000
$9,000,000
100,001 or more
$10,000,000
Professional