The new CMS www.cms.gov initiative the “Next Generation ACO Model” will help transition Medicare payments to alternate new models. The new model will build upon experience from the Pioneer ACO Model and the Medicare Shared Savings program and take on greater performance risks than current ACO models while potentially sharing in a greater savings.
The goal is to test whether strong financial incentives for ACOs coupled with tools to support better patient engagement and care management can improve health outcomes and lower expenditures for original Medicare fee-for-service beneficiaries.
The Next Generation ACO model encourages greater coordination and closer care relationships between ACO providers and beneficiaries utilizing a number of tools to enhance the coordination of care for beneficiaries.
As part of the release of the new ACO payment and care delivery model, the American Telemedicine Association applauds the decision by CMS to allow ACOs to use telehealth services. This decision enables the new ACOs to cover and reimburse for telehealth services just like Medicare Advantage plans are doing.
CMS expects about 15 to 20 ACOs to participate in the new model with representation from a variety of provider organization types and geographic regions. The new model will consist of three initial performance years and two optional one-year extensions.
CMS will accept ACOs into the Next Generation ACO Model through two rounds of application in 2015 and 2016 with participation expected to last up to five years. The first round requests the Letter of Intent is to be submitted by May 1, 2015 and the application by June 1, 2015. For more information, go http://innovation.cms.gov/Files/x/nextgenacorfa.pdf.
The second round will be available March 20 2016 with the Letter of Intent to be submitted by May 1, 2016, and the application due no later than June 1, 2016.