Directs the State Health Plan (the Plan) to begin a pilot program using a Patient-Centered Medical Home approach to primary care by January 1, 2012. Specifies that the Plan will recruit up to 20,000 participants who have had difficulty managing chronic conditions, and may set a maximum salary or other financial limit on participants. Limits additional costs for the program to a maximum $20 appointment fee. Sets other conditions on payments, sets out-of-pocket limits for in-network individual coverage to $4,000 per year, and limits total Plan costs to $5,211 per participant.