Roles and Opportunities for Local Health Departments in Managed Care Markets

Managed care organizations (MCOs) are increasing their share of many local markets and are increasingly providing services to newly insured populations and Medicaid eligibles. Local health departments (LHDs) in these markets must determine what strategies they wish to pursue in this new health care environment. Possible roles are identified (from public health services only to a full range of services). LHDs are encouraged to use their strategic advantages to contract with MCOs to serve geographic, socioeconomic, and cultural populations that differ from those that MCOs are accustomed to serve. Accreditation guidelines of the National Committee for Quality Assurance are summarized and their relationship to LHD activities discussed.