September 11, 2023
Tea Leaves | Transition to Value
  • The Centers for Medicare and Medicaid Services (CMS) debuted a slate of changes to ACO REACH on Monday that are designed to boost participation in the value-based care program. The agency’s Center for Medicare and Medicaid Innovation (CMMI) elevated financial reserve requirements and reduced enrollment minimums under the Accountable Care Organization Realizing Equity, Accountability, and Community Health, or ACO REACH, program, the office announced via its website. ACO REACH enables providers to join together and manage costs for fee-for-service Medicare enrollees. CMS pays eligible ACOs a flat monthly fee, and providers can choose to share savings or losses with CMS or to fully assume the financial risks and benefits. ACO REACH launched this year as a successor to the Global and Professional Direct Contracting Model. CMS is due to release its findings this summer on whether the initiative has reduced spending. (Article here)