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Four Iowa hospital systems join Medicare ACO program

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The Centers for Medicare and Medicaid Services (CMS) today announced that 89 additional U.S. health systems, including four in Iowa, have been selected to participate as Medicare Shared Savings Program accountable care organizations (ACOs).

Under the program, created as part of the Patient Protection and Affordable Care Act, ACOs that succeed in reducing the rate of growth in the cost of care while providing high-quality care may share in the savings to Medicare.

The participating ACOs will report performance on 33 measures relating to care coordination and patient safety, use of appropriate preventive health services, improved care for at-risk populations, and patient and caregiver experience of care.

Those systems that meet the performance criteria will qualify to share in savings generated by more efficient care.

In Iowa, the new Medicare ACOs are:

  • Iowa Health Accountable Care LC in Des Moines, an affiliate of Iowa Health System, is a combination of individual, group and hospital practices with 1,551 physicians that will serve Medicare beneficiaries in Illinois, Iowa and Missouri;
  • One Care LLC (soon to be renamed Mercy ACO) in Des Moines, is Mercy Medical Center  – Des Moines’ Medicare ACO, with 402 physicians, and will serve beneficiaries in Iowa;
  • Genesis Accountable Care Organization LLC in Davenport, with 312 physicians, will provide services to Medicare beneficiaries in Iowa and Illinois; and
  • University of Iowa Affiliated Health Providers LC in Iowa City, with 1,791 physicians, will serve Iowa Medicare beneficiaries.

Another Medicare ACO, Trinity Pioneer ACO LC in Fort Dodge, an Iowa Health entity, is among 24 initial “pioneer” ACOs announced by CMS in December.

In total, there now are 154 organizations participating in Medicare shared savings initiatives, serving more than 2.4 million Medicare patients across the country.

Mercy and Iowa Health in April entered into separate but identical agreements with Wellmark Blue Cross and Blue Shield to launch private-sector versions of ACOs. Under those ACO payment models, Wellmark agreed to share cost savings achieved by the health systems, provided they meet specific quality standards.

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