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42 U.S. Code § 1315a. Center for Medicare and Medicaid Innovation
(a) Center for Medicare and Medicaid Innovation established
(1) In general
There is created within the Centers for Medicare & Medicaid Services a Center for Medicare and Medicaid Innovation (in this section referred to as the “CMI”) to carry out the duties described in this section. The purpose of the CMI is to test innovative payment and service delivery models to reduce program expenditures under the applicable subchapters while preserving or enhancing the quality of care furnished to individuals under such subchapters. In selecting such models, the Secretary shall give preference to models that also improve the coordination, quality, and efficiency of health care services furnished to applicable individuals defined in paragraph (4)(A).
(2) Deadline
The Secretary shall ensure that the CMI is carrying out the duties described in this section by not later than January 1, 2011.
(3) Consultation
In carrying out the duties under this section, the CMI shall consult representatives of relevant Federal agencies, and clinical and analytical experts with expertise in medicine and health care management. The CMI shall use open door forums or other mechanisms to seek input from interested parties.
(4) DefinitionsIn this section:
(A) Applicable individualThe term “applicable individual” means—
(i)
an individual who is entitled to, or enrolled for, benefits under part A of subchapter XVIII or enrolled for benefits under part B of such subchapter;
(ii)
an individual who is eligible for medical assistance under subchapter XIX, under a State plan or waiver; or
(iii)
an individual who meets the criteria of both clauses (i) and (ii).
(B) Applicable subchapter
The term “applicable subchapter” means subchapter XVIII, subchapter XIX, or both.
(5) Testing within certain geographic areas
For purposes of testing payment and service delivery models under this section, the Secretary may elect to limit testing of a model to certain geographic areas.
(b) Testing of models (phase I)
(1) In general
The CMI shall test payment and service delivery models in accordance with selection criteria under paragraph (2) to determine the effect of applying such models under the applicable subchapter (as defined in subsection (a)(4)(B)) on program expenditures under such subchapters and the quality of care received by individuals receiving benefits under such subchapter.