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Integrated Health Partnerships improve the health of Medicaid enrollees and lower the cost of care

Participating health care providers work together across specialties and service settings to meet patient needs. These providers share in savings they help create and in losses when goals are not met. They look for innovations to improve the health of their communities. This work shows Minnesota’s commitment to pay for value and good health outcomes instead of the number of visits or procedures people receive.

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Cost savings
$401 million

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People served

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Emergency room visits
Down 7%

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Hospital stays
Down 14%

Patient story

“I have become the person I always wanted to be and that is a person in charge of her health.”

Care coordination program enrollee
Fergus Falls

Stakeholder story

“This is a great example of how our state Medicaid program and health care providers are working closely together to improve the health of our communities in innovative ways with the goal of improved quality and reduced total cost of health care.” 

Dr. Rahul Koranne
President and CEO
Minnesota Hospital Association

Why work on these innovations?

To improve health outcomes for enrollees and their families

To improve and standardize the enrollee experience

To increase savings by reducing overall costs

To reduce administrative costs and improve efficiency in the system


Currently too little of every dollar spent on health care is devoted to patient care.

This makes it burdensome for people to consistently get the care they need, understand their options and make informed decisions.

With Integrated Health Partnerships, Minnesota has taken the lead among a growing number of states in implementing an accountable care organization model in its Medicaid program to improve the health of the population and individual members. In the model, participating health care providers work together across specialties and service settings to deliver more efficient and effective health care. Care providers are encouraged to look for innovations that will improve the health of their unique communities, sharing in savings they help create and in losses when they fail to meet goals. In the end, the people treated are healthier overall, resulting in the need for less expensive care in the long run.

When health professionals and care providers across specialties and settings coordinate care with patients to deliver health — not just procedures — costs go down and quality goes up. Health care providers are experts in their own communities — North St. Paul faces different challenges and barriers to health than North Minneapolis or North Mankato. Allowing health care professionals the freedom to drive local innovation and change things for the better for their community makes sense.


Interest in Integrated Health Partnerships among providers remains strong

24 provider systems

500 provider locations

10,000 practitioners

Four brand new provider systems joined in 2018 for a total of 24 provider systems or collaborations with more than 500 different locations and 10,000 individual practitioners across the state.

Looking ahead: Next Generation Integrated Health Partnerships

The Department of Human Services proposes to build on the success of the Integrated Health Partnerships and has asked Minnesotans for feedback on this work. Health care providers and community stakeholders participated in a series of community meetings and submitted feedback through a request for comment (PDF). A total of 74 individuals or organizations submitted feedback (PDF). Read a summary of responses received and DHS’ updated timeline (PDF).

History of the program

DHS created the Integrated Health Partnerships program in keeping with the following laws: 

  • Minnesota passed legislation in 2008 to make health care more affordable, expand health care coverage and improve the overall health of Minnesotans. 
  • The Minnesota Legislature mandated in 2010 that DHS develop and implement a demonstration testing alternative health care delivery systems, including accountable care organizations. 


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