Gauging new payment models for the future
Ad Hoc Payment Model Workgroup looks to the future with Alternative Payment Models (APMs) NUTS AND BOLTS Endocrine surgery bundled payment modelBy Drew M. Locandro, MD, excerpt from ENTConnect Report Our practice is an eight-physician, single-specialty independent practice with six offices in a major metropolitan area. Several years ago, one of our surgeons developed a busy endocrine (thyroid/parathyroid) surgical practice. Patients came from greater and greater distances—even from other countries—and some were willing to pay cash for surgery. Pricing from local hospitals and multispecialty centers required negotiation on a per-case basis that was inconsistent and often did not include anesthesia, pathology, and other fees. Similar to all practices, some patients defer surgery due to cost, especially if they have high-deductible insurance coverage, catastrophic coverage only, or no insurance. In 2011, our practice opened a single-specialty ambulatory surgery center. Want to find out how Dr. Locandro’s cash pricing system works? Interested in other alternative payment model experiences or have one of your own to share? Read more and engage in the conversation at today! Available on ENTConnect: http://entconnect.entnet.org. The Academy strongly supported the repeal of the SGR formula and the movement toward development of new payment models in the landmark legislation that became law in April 2015. We believe this effort will add to the momentum in the shift from the traditional fee-for-service (FFS) system to value-based care. As part of the Academy’s efforts over the past few years to prepare for this transition, the Ad Hoc Payment Model workgroup was created. Led by co-chairs Robert Lorenz, MD, MBA, and Jane T. Dillon, MD, MBA, and managed by Health Policy staff, this group is comprised of physician leaders from research, quality improvement, 3P, and the Board of Governors. The main goals of this workgroup include reviewing potential opportunities to improve quality of care and decrease cost for otolaryngology-related services and dissemination of information about alternative payment models. To that end, the Ad Hoc Payment Model Workgroup created a new Member awareness campaign to identify and leverage Member alternative payment model (APM) knowledge. Member awareness campaign To assess Member knowledge and participation, the Ad Hoc Payment Model Workgroup partnered with the Board of Governors (BOG) to conduct a survey regarding Members’ experiences in states already involved in a new payment model. The survey revealed an eagerness to learn more about alternative payment models, as well as several Members with leadership roles in these new schemas. These leaders were asked to tell their personal stories to help the membership become more familiar with how APMs are affecting the specialty. In addition, these leaders helped to provide Academy members with an introduction to the risks and benefits of the various payment model structures. These personal experience reports were distributed to the membership at-large via periodic ENTConnect posts detailing otolaryngology APM involvement. (See “Endocrine Surgery Bundled Payment Model” at far right.) Looking toward the future of the healthcare system, the Academy will be well-poised to work with private and public payers with the establishment of an Academy-owned registry. An Academy-owned registry will help to inform alternative payment models, help demonstrate clinical effectiveness, and will allow our Members to report quality measures directly to CMS—all crucial elements in value-based care. Medicare moves to value NUTS AND BOLTS Meeting of the minds for ongoing dialogueOn May 21, 2015, AAO—HNS/F leaders met with top CMS/CMMI officials who spearheaded the recent launch of the Health Care Payment Learning and Action Network. Academy participants in this critical meeting included Robert Lorenz, MD, MBA, coordinator for Practice Affairs and co-chair of the Ad Hoc Payment Model workgroup; Jane T. Dillon, MD, MBA, coordinator for Socioeconomic Affairs and co-chair of the Ad Hoc Payment Model Workgroup; Lisa E. Ishii, MD, MHS, coordinator for Research and Quality Improvement and Chair for the Registry Task Force, James C. Denneny III, MD, EVP and CEO; Jean Brereton, MBA, senior director, Research, Quality and Health Policy; Jenna Kappel, MPH, MA, director of Health Policy. During the meeting, Academy leaders discussed possible opportunities to partner with CMS in APM development by describing ways that we could improve value, decrease costs, and increase quality. CMS/CMMI was very receptive to several of the ideas and the Academy’s leadership will move forward with collaborative efforts. Stay tuned to the website, HP Update, and upcoming Bulletin articles for updates: www.entnet.org/content/payment-reform. The Academy applauds the Department of Health and Human Services (HHS) recent efforts to promote the collaboration of partners in the private, public, and non-profit sectors to transform the nation’s health system by emphasizing value over volume. Following the announcement of an aggressive goal to have 30 percent of Medicare payments in alternative payment models by the end of 2016 and 50 percent by the end of 2018, HHS launched the Health Care Payment Learning and Action Network (Network). The Network, overseen by a third party contractor so that CMS is a participant in this effort, but not the main driver, will primarily work to enhance value by analyzing data for current APMs, then use that data to create common core issue approaches and implementation guides. The Academy was extremely pleased to participate in the first working session of the Network and looks forward to learning more about best practices and how best to analyze data and report on new payment models. As part of recent Academy efforts related to informing Members about alternative payment models, the HHS announcement, and the Network, Academy physician payment and quality leaders met with CMS/Centers for Medicare & Medicaid Innovation (CMMI) to continue dialogue with them about the Academy’s ongoing efforts to improve quality and reduce costs, and increasing otolaryngologist-head and neck surgeons opportunities to participate in alternative payment models. Academy leaders have developed a good relationship with Patrick Conway, MD, MSc, Deputy Administrator for Innovation and Quality and CMS Chief Medical Officer, that has led to ongoing open dialogue with him and his CMS team members regarding important quality-related issues impacting our physician members and the patients they treat. The open door policy with Dr. Conway and his team members has allowed for several policies to move forward that benefit otolaryngologist-head and neck surgeons and their patients, including CMS’ adoption of the new Sinusitis and Acute Otitis Externa (AOE) measures groups and CMS’ decision to include coverage of auditory osseointegrated implants (AOIs) as prosthetics. As many specialty societies including otolaryngology are trying to determine how to be included in the healthcare system transformation, this latest meeting was crucial for the Academy to receive feedback from CMS/CMMI about how societies fit in with the HHS goals. Thank you The Ad Hoc Payment Model Workgroup leaders and your AAO-HNS Health Policy staff greatly appreciate the support of our Members, committee volunteers, and other leaders in helping us shape policy in an ever-changing market. As key information, policy changes, and other issues related to alternative payment models that impact the specialty emerge; we will continue to keep Members informed via the Bulletin, HP Update, and the weekly news.
Ad Hoc Payment Model Workgroup looks to the future with Alternative Payment Models (APMs)
The Academy strongly supported the repeal of the SGR formula and the movement toward development of new payment models in the landmark legislation that became law in April 2015. We believe this effort will add to the momentum in the shift from the traditional fee-for-service (FFS) system to value-based care. As part of the Academy’s efforts over the past few years to prepare for this transition, the Ad Hoc Payment Model workgroup was created. Led by co-chairs Robert Lorenz, MD, MBA, and Jane T. Dillon, MD, MBA, and managed by Health Policy staff, this group is comprised of physician leaders from research, quality improvement, 3P, and the Board of Governors. The main goals of this workgroup include reviewing potential opportunities to improve quality of care and decrease cost for otolaryngology-related services and dissemination of information about alternative payment models. To that end, the Ad Hoc Payment Model Workgroup created a new Member awareness campaign to identify and leverage Member alternative payment model (APM) knowledge. Member awareness campaign To assess Member knowledge and participation, the Ad Hoc Payment Model Workgroup partnered with the Board of Governors (BOG) to conduct a survey regarding Members’ experiences in states already involved in a new payment model. The survey revealed an eagerness to learn more about alternative payment models, as well as several Members with leadership roles in these new schemas. These leaders were asked to tell their personal stories to help the membership become more familiar with how APMs are affecting the specialty. In addition, these leaders helped to provide Academy members with an introduction to the risks and benefits of the various payment model structures. These personal experience reports were distributed to the membership at-large via periodic ENTConnect posts detailing otolaryngology APM involvement. (See “Endocrine Surgery Bundled Payment Model” at far right.) Looking toward the future of the healthcare system, the Academy will be well-poised to work with private and public payers with the establishment of an Academy-owned registry. An Academy-owned registry will help to inform alternative payment models, help demonstrate clinical effectiveness, and will allow our Members to report quality measures directly to CMS—all crucial elements in value-based care. Medicare moves to value
The Academy applauds the Department of Health and Human Services (HHS) recent efforts to promote the collaboration of partners in the private, public, and non-profit sectors to transform the nation’s health system by emphasizing value over volume. Following the announcement of an aggressive goal to have 30 percent of Medicare payments in alternative payment models by the end of 2016 and 50 percent by the end of 2018, HHS launched the Health Care Payment Learning and Action Network (Network). The Network, overseen by a third party contractor so that CMS is a participant in this effort, but not the main driver, will primarily work to enhance value by analyzing data for current APMs, then use that data to create common core issue approaches and implementation guides. The Academy was extremely pleased to participate in the first working session of the Network and looks forward to learning more about best practices and how best to analyze data and report on new payment models. As part of recent Academy efforts related to informing Members about alternative payment models, the HHS announcement, and the Network, Academy physician payment and quality leaders met with CMS/Centers for Medicare & Medicaid Innovation (CMMI) to continue dialogue with them about the Academy’s ongoing efforts to improve quality and reduce costs, and increasing otolaryngologist-head and neck surgeons opportunities to participate in alternative payment models. Academy leaders have developed a good relationship with Patrick Conway, MD, MSc, Deputy Administrator for Innovation and Quality and CMS Chief Medical Officer, that has led to ongoing open dialogue with him and his CMS team members regarding important quality-related issues impacting our physician members and the patients they treat. The open door policy with Dr. Conway and his team members has allowed for several policies to move forward that benefit otolaryngologist-head and neck surgeons and their patients, including CMS’ adoption of the new Sinusitis and Acute Otitis Externa (AOE) measures groups and CMS’ decision to include coverage of auditory osseointegrated implants (AOIs) as prosthetics. As many specialty societies including otolaryngology are trying to determine how to be included in the healthcare system transformation, this latest meeting was crucial for the Academy to receive feedback from CMS/CMMI about how societies fit in with the HHS goals. Thank you The Ad Hoc Payment Model Workgroup leaders and your AAO-HNS Health Policy staff greatly appreciate the support of our Members, committee volunteers, and other leaders in helping us shape policy in an ever-changing market. As key information, policy changes, and other issues related to alternative payment models that impact the specialty emerge; we will continue to keep Members informed via the Bulletin, HP Update, and the weekly news.