Playing hardball: doctors start negotiating with doctors

Playing hardball: doctors start negotiating with doctors

Since the introduction of Obamacare, a growing number of physicians are part of what are called Accountable Care Organizations, where physicians, nurses and other providers are responsible for the health of their patients and the costs of that care.

The shifting landscape is rearranging incentives, and leading doctors into corners of their work they’ve rarely visited.

On a late Friday afternoon last month, the Family Health Associates practice in Charleston, West Virginia is empty.

Empty except for Dr. Julie DeTemple and her staff.

“I should be home and I’m here typing away doing my notes, charting,” DeTemple said.

The primary care doctor has had to adjust from examining patients – why she got into the business – to examining data.

Her quality time with spreadsheets has ramped up this year, now that’s she’s co-founded the Aledade West Virginia ACO, made up of 11 physician practices in the state.

The physicians constantly meet, looking for ways to improve care and cut out wasteful spending.

Doctors cut costs by getting to know their patients

Doctors cut costs by getting to know their patients

76-year old Millard Scott who suffers from COPD and community health worker Nurse Samantha Runyon.

The healthcare landscape is changing, even as Obamacare bumps along.

In the past six years, we’ve seen the rise of Accountable Care Organizations, now numbering more than 800, where doctors or hospitals work together to streamline care. For physicians that means they now get some compensation through contracts that reward improving health and controlling costs, as opposed to simply making money for every service provided regardless of the outcome or expense.

There are now an estimated 28 million Americans enrolled in these ACOs, and that means, at least for some, their care looks radically different than even just a few years ago. That’s particularly true for some of the sicker people in the country.

People like 76-year-old Millard Scott.

Scott, who lives in the small town of Williamson, West Virginia, population 3,000, suffers from Chronic Obstructive Pulmonary Disease. When his COPD kicks up, struggling to breathe is Scott’s big problem.

Hennepin Health: A Care Delivery Paradigm for New Medicaid Beneficiaries

http://www.commonwealthfund.org/publications/case-studies/2016/oct/hennepin-health

On Lok Header

This case study is one in an ongoing series examining programs that aim to improve outcomes and reduce costs of care for patients with complex needs, who account for a large share of U.S. health care spending.

Bundled payments: What healthcare leaders need to know

http://www.fiercehealthcare.com/healthcare/keckley-what-healthcare-leaders-must-know-bundled-payments

California Health Care Foundation – Regional Markets Issue Brief (September 2016)

Click to access PDF%20AlmanacRegMktBriefLosAngeles2016.pdf

map of Los Angeles CountyCalifornia Health Care Foundation - Health Care That Works for All Californians

LOS ANGELES: THRIVING OR SURVIVING IN A FRAGMENTED MARKET

http://www.chcf.org/publications/2016/09/regional-market-los-angeles

The Opportunities and Challenges of the MSSP ACO Program: A Report From the Field

https://www.aledade.com/new-journal-article-a-report-from-the-field/

table

The trillion dollar shift in healthcare payment “from volume to value” is well underway with both public and private payers and purchasers pushing provider organizations to participate in outcome-based risk contracts, stepping up from pay-for-performance and medical home models to a variety of accountable care and bundled payment programs.

But what are we to take away from the mixed results of these programs — from the lack of savings in the Comprehensive Primary Care demonstration, to the dropouts from the Pioneer program, the recently released underwhelming results from the first year of the Bundled Payment for Care Improvement Initiative, or the 2015 results from the Medicare Shared Savings Program?

One approach would be for partisans for each of these approaches to search for positive nuggets in the results from their preferred program, while heaping scorn on the other “competing” reforms.

Another would be to retreat altogether from the aspirations of achieving better care at lower cost, towards either resignation towards ever-escalating health care costs or more likely to (altogether regretful!) rationing of access to good healthcare for the most vulnerable in our society.

A third path would be to acknowledge that there is no magic bullet for “transforming healthcare” overnight, and that the work of redesigning our delivery systems to meet the expectations of the outcome-based payment models will be slow, hard, and uneven. We would accept that there are likely multiple payment reforms that will need to be implemented alongside each other, targeting different healthcare markets and different participants. (Capitated payments for truly integrated delivery networks. Mandatory bundled payments for proceduralists and hospitals. Accountable care for independent physician networks). And each model will need to be iterated and tweaked and incrementally improved.

That is what I choose to believe.

We are publishing today in the new issue of the American Journal of Managed Care, “A Report From the Field,” the detailed description of what our two ACO “freshman” accomplished in 2015, and openly discussing the challenges we faced, what we are doing differently now, and some policy changes that can put more wind to the backs of those in these trenches.

Here are a few of the key findings:

http://www.ajmc.com/journals/issue/2016/2016-vol22-n9/The-Opportunities-and-Challenges-of-the-MSSP-ACO-Program-A-Report-From-the-Field

Conclusions:

We have learned that, given the right support and incentives, independent primary care practices can embrace population health and practice redesign. These efforts can begin to bear fruit in improved patient access, quality of care, and appropriate utilization in the short term. We strongly believe that the benefits of the program to patients and the taxpayer are not limited to those ACOs that received shared savings distributions. However, lack of recognition of these contributions may stifle continued innovation and physician engagement with alternative payment models. Aledade is committed to navigating these challenges and we are committed to sharing our learning so that more independent physician-led ACOs can succeed in their mission to profitably deliver better care at lower cost. We also hope that policy makers and commercial payers continue to work to remove the unintended policy headwinds ACOs must presently overcome. – See more at: http://www.ajmc.com/journals/issue/2016/2016-vol22-n9/the-opportunities-and-challenges-of-the-mssp-aco-program-a-report-from-the-field/P-5#sthash.3V1BtAtZ.dpuf

 

ACO inside report details challenges of ‘regulatory headwinds’

http://www.healthcaredive.com/news/aco-inside-report-details-challenges-of-regulatory-headwinds/426663/

Image result for regulatory headwinds

  • A new report from Aledade, a company that helps physicians form and operate accountable care organizations (ACOs), says its groups have successfully increased primary care utilization and revenue, decreased lab and imaging costs, and decreased emergency department and hospital utilization and readmissions.
  • The findings were shared to provide a “frontlines” perspective on the challenges and lessons learned in delivering value as a Medicare Shared Savings Program (MSSP) ACO.
  • The report calls out “regulatory headwinds” that it says are currently working against ACOs in the program, including the national benchmark used to determine savings. Although the implementation of regional benchmarking will provide a more accurate measurement in years 4-9, in the meantime it still leaves some ACOs facing a longer stretch of time to achieve financial success.

 

 

Four Delaware health systems form new alliance

http://www.delawareonline.com/story/news/health/2016/09/15/four-delaware-health-systems-form-new-alliance/90407280/

Image result for delaware healthcare

The new eBrightHealth is a partnership of Christiana Care Health System, Bayhealth Medical Center, Beebe Healthcare and Nanticoke Health Services

EBrightHealth dovetails with the health care reform the state is undertaking with the Delaware Center for Health Innovation, officials say. It also builds on the relationships the systems have established over the last year as they participate in the statewide Quality Partners Accountable Care Organization.

The ACO focuses on creating more comprehensive care and cost-savings for Medicare patients. As Nevin said, it’s designed to reward hospitals for disrupting their business model by encouraging them to find ways to keep people healthier so they don’t need emergency rooms or hospital admission.

Christiana Care’s Care Link program is an example of what has come out of the ACO. Carelink identifies complex patients who are high-risk, for example those who do not have access to primary care, and connects them to physicians who will reach out and find out what their needs are.

Social workers, pharmacists, behavioral health therapists and nurses are all involved.

EBrightHealth is modeled after initiatives such as AllSpire Health Partners, which is a consortium of seven New Jersey and Pennsylvania hospital systems. That organization is three years old.

Value-based Care is Ripping Into Health System Profits

http://www.healthleadersmedia.com/finance/value-based-care-ripping-health-system-profits?spMailingID=9500406&spUserID=MTMyMzQyMDQxMTkyS0&spJobID=1000981859&spReportId=MTAwMDk4MTg1OQS2#

capitation

Large health systems and hospital operators are reporting falling profits, revenue, income, and share value. The promise of population health management may eventually restore financial order, says one industry expert.

Fewer than one-third of ACOs qualify for Medicare bonuses

http://www.fiercehealthcare.com/payer/cms-acos-generated-466m-savings-2015?mkt_tok=eyJpIjoiTXpNd1lqZGlNR0U1WkRJeCIsInQiOiJLOWhzWGhXZ2FrUHdBMEg5d1VNTnppNTR6TEh5XC9tQjI1bDgxcVlUUWNcL1wvSWt0SkRUck9vYm90K1VuSlZJUGFpQ3RubDhPdjFFTWZFUEF1S3RDTUlpZ0VQbmtJRmYyOVg5ZHk0T3RiUUZYRT0ifQ%3D%3D&mrkid=959610&utm_medium=nl&utm_source=internal

CMSCMS

Fewer than one-third of Accountable Care Organizations qualified for bonuses from Medicare in 2015.

And just 31 percent of ACOs generated savings of $466 million, according to a CMS announcement released Thursday.

CMS and Congress must “take swift and decisive action to solidify the foundation of the Medicare ACO program,” Clif Gaus, CEO of the National Association of ACOs, said in a response (.pdf) to the findings.

The savings were accumulated from 392 Medicare Shared Savings Program participants and 12 Pioneer ACO participants, according to CMS. Total savings grew 13 percent from 2014, when ACOs recognized $411 million in total savings.

The National Association of ACOS “was disappointed not to find stronger financial results that reflect the extensive financial and personal contributions invested by ACOs,” Clif Gaus told FierceHealthcare via email, adding, “the ACO program has strong, bipartisan support and is considered a model for the transition from fee-for-service to value-based payment.”