CMS extends Next Generation deadline a year due to COVID-19

Jannie Delucca

The Centers for Medicare and Medicaid Products and services has prolonged the deadline for the Up coming Generation risk design for accountable treatment businesses for a yr because of to the coronavirus.

CMS also announced improvements to other different payment models to change for the COVID-19 pandemic.

Modifications incorporate mitigating losses for Up coming Generation ACOs by the percentage of months in the community wellness unexpected emergency, enabling contributors of bundled payment models the solution to be excluded from payment reconciliation for 2020 and providing an chance for entities to enter Direct Contracting with an April 1, 2021 start out date.

CMS is presenting a second round of apps to participate in the Direct Contracting Model starting in 2022.

CMS has but to release information on the software interval for the April 2021 start out date.

ACOs also need to have additional depth about the model’s economic elements, these kinds of as how paying out benchmarks will be set and how populations will be risk modified, the Nationwide Association of ACOs mentioned.


ACOs have been worried about how COVID-19 will influence economic losses in their risk models.

Leading mentioned the improvements were being urgently needed reduction for health care companies in state-of-the-art different payment models that bear a important quantity of risk.

CMS has been pushing ACOs to choose on additional risk, sooner, and is presenting the benefit of qualifying as an state-of-the-art different payment design to satisfy the demands of MACRA. Up coming Generation is an state-of-the-art ACO design of greatest risk.

The year’s extension offers Up coming Gen ACOs an state-of-the-art APM to participate in for 2021. NAACOS mentioned it hopes the extra yr will give CMS additional data on which to make the Up coming Gen design long lasting.

THE Bigger Pattern

Up coming Gen ACOs have efficiently satisfied the CMS Innovation Center’s plans of improving upon treatment high quality although lowering Medicare paying out, the Nationwide Association of ACOs mentioned. Up coming Gen ACOs collectively saved $406 million in 2018 and $337 million in 2017.


“Heading ahead, benefit-based mostly treatment can enable guarantee health care resiliency,” CMS Administrator Seema Verma mentioned in a Health and fitness Affairs website article announcing the improvements “By accepting benefit-based mostly or capitated payments, companies are far better in a position to climate fluctuations in utilization, and they can aim on maintaining sufferers healthy somewhat than trying to boost the volume of products and services to guarantee reimbursement. Worth-based mostly payments also deliver stable, predictable revenue – shielding companies from the economic influence of a pandemic.”

Leading mentioned, “These improvements will permit contributors to remain in the models so that we do not eliminate progress in the motion to benefit-based mostly treatment.”

“Guaranteeing companies have the time to evaluate and continue being in benefit based mostly treatment packages is crucial,” mentioned Michael Gleeson, main approach and innovation officer at Arcadia. “These buildings are crucial to the future economic security of service provider businesses – enabling for additional versatility for companies to spend methods exactly where they can have the most influence on client wellness.”

Twitter: @SusanJMorse
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