October 25, 2021
Transition to Value
  • CMS released the fourth evaluation report on The Next Generation Accountable Care Organization (NGACO) model, revealing that the program saved Medicare $637 million in 2020. After factoring in $909 million in shared savings and other payouts to NGACOs, the model was associated with $243 million in net losses. On average, total gross spending reductions did not differ by NGACO organizational affiliation. However, physician practice NGACOs were more likely to reduce spending in acute care hospital and outpatient facility settings, while hospital-affiliated NGACOs were more likely to reduce spending on professional services. (Report here; Article here)