Requires the Secretary of HHS to award grants to states to incentivize Medicaid beneficiaries to: (1) join tobacco cessation, weight control or reduction, blood pressure lowering, or diabetes prevention or management programs; and (2) achieve improvements in health risks and outcomes. Allows state flexibility in implementing such provision, including by entering into arrangements with community– and/or faith-based organizations.
Directs HHS to conduct awareness programs for states, providers, and beneficiaries regarding these incentives. Further enumerates certain monitoring and reporting requirements of the states, and stipulates that HHS report to the Congress on these initiatives by January 1, 2014 (initial report) and July 1, 2016 (final report). Appropriates over a 5-year period beginning on January 1, 2011 $100 million to remain available until expended.