04/06/10 – Accountable Care Organizations Offer a Promising Means to Improve Payment and Delivery Systems

by Laurel Petralia

Program Officer, The Colorado Trust

On a snowy spring day, nearly 50 hearty Coloradans braved the elements to learn more about Accountable Care Organizations – or ACOs. At a special joint convening and webinar hosted by The Colorado Trust, representatives from state agencies, health provider groups, educational institutions and foundations had the timely opportunity to hear from two of the nation's foremost experts on the subject. As well, participants learned more about the state's plans for further exploring this means to improve value in health care and shape payment reform.

Dr. Elliott Fisher of the Dartmouth Institute for Health Policy and Clinical Practice, and Dr. Mark McClellan of the Engelberg Center for Health Care Reform at Brookings, told participants that ACOs look to be a promising model to achieve payment and delivery system improvements. They explained that, while ACOs do not put an end to traditional fee-for-service payments, they do include financial incentives for doctors to reduce medical costs and improve patient care. Like patient-centered medical homes and bundled payments, ACOs offer a new health care model in which providers take joint responsibility for keeping patients healthy while simultaneously controlling costs. The idea is that if various health providers caring for one person work together they will reduce duplication of services, eliminate unnecessary procedures, lower unnecessary visits to the ER - all resulting in improved care at a lower cost.

ACOs have also emerged as a component of Congress' recently approved H.R. 3590 – the Patient Protection and Affordable Care Act. Section 3022 of the federal health care reform bill establishes ACOs as a means to provide incentives for performance-based care.

Colorado is also exploring the possibilities offered by this model. Sandeep Wadhwa, MD, Colorado Medical Director, Colorado Department of Health Care Policy and Financing (HCPF) spoke to participants on health care delivery and payment discussions underway across the state. Colorado's version of ACOs, Regional Care Coordination Organizations (RCCOs), are intended to provide a medical home for Colorado Medicaid patients, coordinate care across health programs and providers, and establish regional accountability for patients' health outcomes and affordability of care. HCPF plans to implement the RCCO pilot statewide by year-end.

To learn more, contact Laurel Petralia.

 

TOP Comments (0)