; and (ii) other data as the Secretary determines appropriate. (4) Development of alternative payment model methodology (A) In general Each State, in collaboration with any enhanced pediatric health home that is operating an EPHH program under this section in the State, shall develop the payment methodology or methodologies for payment under the State plan in accordance with this subsection that— (i) includes— (I) a risk adjustment method, re-insurance system, or risk-corridor procedure to account for variations in acuity of the children with complex medical conditions enrolled in enhanced pediatric health homes; and (II) an alternative payment model, which may include a shared savings approach or performance-based approach, such as a bundled payment or risk-reward payment model; (ii) may be informed by guidance published by the Secretary under paragraph (3)(A); and (iii) considers data analyzed under paragraph (3)(C), to the maximum extent practicable. (B) Approval by State Medicaid agency required No payment may be made under a payment methodology developed under this paragraph unless— (i) the relevant State agency responsible for administering the State plan under this title has approved such methodology