State Innovation Models Initiative: Model Test Awards Round One

The CMS Innovation Center invested over $250 million in Round 1 Model Test awards to support six states in implementing their State Health Care Innovation Plans. A State Health Care Innovation Plan was a proposal that described a state’s strategy to use all of its available levers to transform its health care delivery system through multi-payer payment reform and other state-led initiatives.

Round One Model Test Awardees

State Innovation Models Initiative: Model Test Awards map

Six states were awarded Model Test Awards in Round One.


Investment Amount: Up to $42 million

Description: The Arkansas State Innovation Model was based on two complementary strategies: population-based care delivery and episodes-based payment. These strategies supported a patient-centered health care system and were launched statewide with the support of both public and private insurers. Arkansas’ model included:

  • Patient-centered medical homes that provided comprehensive, team-based care with a focus on chronic care management and preventive services.
  • Additional health homes that coordinated medical, community, and social support services for individuals with complex or special needs (including behavioral health conditions, developmental disabilities, or long-term care).
  • Episodes of care with a retrospective payment approach that rewarded providers who delivered high-quality, cost-effective, and team-based care for specific conditions.



State website

Investment Amount: Up to $33,068,334.

Description: The Maine SIM initiative, through a collaborative process, promoted the alignment and acceleration of statewide initiatives, designed to improve the health and healthcare while reducing healthcare costs for the people of Maine.

The Maine SIM was built upon these six strategic pillars and each of their 21 innovative activities were linked to one or more of these pillars:

  • Strengthen Primary Care
  • Integrate Physical and Behavioral Health Care
  • Develop New Workforce Models
  • Develop New Payment Models
  • Centralize Data and Analysis
  • Engage People and Communities



State website

Investment Amount: Up to $44,011,924.

Description: The Massachusetts State Innovation Model focused on implementation of statewide payment reform efforts that moved its health system toward seamless, patient-centered care that rewarded value over volume. Massachusetts’ model included:

  • A Primary Care Payment Reform Initiative that provided prospective capitated payments for primary care services.
  • Three distinct ACO models with varying levels of sophistication and risk that allowed a range of providers to participate in alternative payment models.
  • Development of certified Community Partners, which were community-based organizations with expertise in delivering care to members with behavioral health, long term support services, and social services needs.



State website

Investment Amount: Up to $45,231,841.

Description: The Minnesota State Innovation Model aims to better integrate care and services for the whole person across the continuum of care (including physical health care, mental health care, long-term care, and other services) through a statewide Accountable Health Model. Minnesota’s model that includes:

  • Creation of “Accountable Communities for Health” (ACHs) that integrate medical care with behavioral health services, public health, long-term care, social services, and other forms of care.
  • Expansion of health information exchange and health information technology infrastructure.
  • Support for primary care physicians who wish to transform their practices into Patient-Centered Medical Homes (PCMHs).



State website

Investment Amount: Up to $45 million.

Description:  The Oregon State Innovation Model used the state’s purchasing power to realign health care payment and incentives so that state employees, Medicare beneficiaries, and those purchasing qualified health plans on Oregon’s Health Insurance Exchange had high quality, low cost health insurance options that were sustainable over time. Oregon’s model included:

  • Shifting to a payment system that rewarded quality care outcomes rather than volume and aligning incentives across medical care and long-term care services and supports.
  • Creation of Medicaid Coordinated Care Organizations (CCOs) which were risk-bearing, community-based entities governed by a partnership among providers of care, community members, and entities taking financial risk for the cost of health care.
  • Creation of a Transformation Center that disseminated best practices among CCOs and other health plans, support rapid cycle improvement, and spread the model across payers and into the qualified health plans of the health insurance exchange.



State website

Investment Amount: Up to $45,009,480.

Description: The Vermont model for health system transformation increased both organizational coordination and financial alignment between clinical specialists and Vermont’s Blueprint for Health advanced primary care practices. Vermont’s model included:

  • Development of a shared-savings ACO model that involved integration of payment and services across an entire delivery system, a bundled payment model that involved integration of payment and services across multiple independent providers, and a pay-for-performance model aimed at improving the quality, performance, and efficiency of individual providers.
  • Enhancements in health information technology infrastructure, including improved clinical and claims data transmission, integration, analytics, and modeling and enhanced telemedicine and home monitoring capabilities.


Latest Evaluation Reports

Two Pager: Findings-At-A-Glance Report (PDF) (DEFAULT)

Prior Evaluation Reports


Additional Information



Where Health Care Innovation is Happening