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Research ArticleOriginal Research

Lessons for Primary Care from the First Ten Years of Medicare Coordinated Care Demonstration Projects

Winston Liaw, Miranda Moore, Chimaraoke Iko and Andrew Bazemore
The Journal of the American Board of Family Medicine September 2015, 28 (5) 556-564; DOI: https://doi.org/10.3122/jabfm.2015.05.140322
Winston Liaw
From the Department of Family Medicine, Virginia Commonwealth University, Fairfax Family Medicine Residency Program, Fairfax (WL); and the Robert Graham Center, Policy Studies in Family Medicine and Primary Care, Washington, DC (MM, CI, AB).
MD, MPH
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Miranda Moore
From the Department of Family Medicine, Virginia Commonwealth University, Fairfax Family Medicine Residency Program, Fairfax (WL); and the Robert Graham Center, Policy Studies in Family Medicine and Primary Care, Washington, DC (MM, CI, AB).
PhD
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Chimaraoke Iko
From the Department of Family Medicine, Virginia Commonwealth University, Fairfax Family Medicine Residency Program, Fairfax (WL); and the Robert Graham Center, Policy Studies in Family Medicine and Primary Care, Washington, DC (MM, CI, AB).
BA
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Andrew Bazemore
From the Department of Family Medicine, Virginia Commonwealth University, Fairfax Family Medicine Residency Program, Fairfax (WL); and the Robert Graham Center, Policy Studies in Family Medicine and Primary Care, Washington, DC (MM, CI, AB).
MD, MPH
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    Figure 1.

    Average monthly per-member payments for Medicare demonstration programs. 1. We averaged the monthly care management fees per host organization. The fees were obtained from Brown et al.12 2. We averaged the monthly care management fee for each organization across the demonstration's 3 years and then averaged the fees across the 6 organizations. We obtained the fee amounts from RTI International's evaluation of each organization. 3. The monthly care management fee schedule varied by state, with some states adjusting for the practice's medical home status and patient complexity. Five states allocated additional payments for community health teams. For this calculation, we averaged the maximum and minimum possible payments per state, added this amount to the community health team fee (when available), and then averaged the fees across the states. We obtained the monthly fees from Centers Medicare and Medicaid Services (CMS) data.50 4. The CMS paid an average of $20 per beneficiary per month (PBPM) for the first 2 years and then $15 PBPM for the last 2 years. We averaged these 2 amounts across the 4 years.26 5. Only patients with program-defined, high-cost diagnoses were eligible to participate. 6. All Medicare beneficiaries within practices were eligible to participate.

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    Table 1. Services Offered by Medicare Care Coordination Demonstration Project Participants
    ProgramHost Organization/StateCore ElementsTelemonitoringProviders Reimbursed for Reviewing Care PlansPaid for Community ServicesPaid for MedsLate Innovations
    Self-careCommunity ServicesMed ReviewHome VisitsTransitional CareIdentification of Hospitalized Patients*Risk StratificationProvided Mental Health Resources†End-of-Life servicesPractice Transformation
    Medicare Coordinated Care DemonstrationCorSolutions27XXXXXXX
    University of Maryland28XXXX
    Georgetown29XXXXXXXXXXX
    Jewish Home and Hospital Lifecare30XXXXXXXX
    Avera Research Institute31XXXXXXXX
    Medical Care Development32XXXXXXXX
    Mercy Medical Center33XXXXXXX
    Charlestown Retirement Community34XXXXXX
    Hospice of the Valley35XXXXXX
    Washington University36XXXXXXXX
    Carle Foundation37XXXXXXXX
    Quality Oncology38XXXXX
    Health Quality Partners39XXXXXXXX
    Qmed40XXXX
    CenVaNet41XXXXXX
    Care Management for High Cost BeneficiariesCare Level Management15XXXXXXXXX
    Village Health's Key to Better Health16XXXXXXXX
    Massachusetts General Hospital13XXXXXXXXX
    The Health Buddy Consortium14XXXXXXX
    Montefiore Medical Center17XXXXXXXXXX
    Texas Tech18XXXXXXXXX
    Multi-Payer Advanced Primary Care‡Minnesota42XXXXX
    North Carolina43XXXXXXXX
    Maine44XXXXX
    Michigan45XXXXXXXX
    Vermont46XXXX
    Pennsylvania47XXXX
    New York
    Rhode Island48XXXX
    • ↵* Identification of hospitalized patients beyond self-report.

    • ↵† Provided mental health resources beyond screening.

    • ↵‡ Based on publicly available data; evaluation results are not available.

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    Table 2. Characteristics of Medicare Demonstration Projects That Focus on Care Coordination
    Medicare Coordinated Care DemonstrationCare Management for High-Cost Beneficiaries DemonstrationMulti-Payer Advanced Primary Care Practice DemonstrationComprehensive Primary Care Initiative
    Start year2002200520112012
    Duration (years)4334
    Patients involved (n)∼16,000∼28,000∼900,000∼313,000
    Programs/states involved15 Programs6 Programs8 States7 Markets in 8 states
    Payer(s) involvedMedicareMedicareMedicare, Medicaid, private health plansMedicare, Medicaid, private health plans
    Program goal(s)Determine whether case management and disease management programs can lower costs and improve patient outcomesDetermine whether pay-for-performance and new strategies for complex, high-cost patients, reduce costs, improve quality, and improve beneficiary and provider satisfactionAssess the effect of advanced primary care practice (ie, the patient-centered medical home) on health care effectiveness, quality, patient engagement, and costTest whether comprehensive primary care, coupled with payment reform, use of data to guide improvement, and meaningful use of health information technology, can achieve the 3-part aim of better care, improved health, and reduced costs
    Who designed the intervention?ProgramsProgramsStatesCenters for Medicare and Medicaid Services
    Evaluation
        DesignPatients were randomized and controlledPatients were randomized and controlledEvaluation is ongoingEvaluation is ongoing
        ExpensesThree (Health Quality Partners, Georgetown, and Mercy) cost less than controls Two (Health Quality Partners and Georgetown) had savings enough to offset fees.49One (Massachusetts General Hospital) achieved cost savings13Evaluation is ongoing
        Hospitalizations/mortalityOne (Mercy) had fewer hospitalizations than controlsThree (Health Buddy Consortium, Massachusetts General Hospital, and CareLevel Management) had lower all-cause hospitalization rates13–15 Two (Massachusetts General Hospital and the Health Buddy Consortium) achieved mortality reductions.13,14
    Payment structure on top of fee-for-servicePer-enrollee, per-month payments onlyMonthly payments were held at risk based on performance. There was also a shared savings provision.Per-beneficiary, per-month payment (dependent on patient complexity and the medical home level achieved by the practice) Community health teams also receive payments.Shared savings (in years 3 and 4) in addition to per-beneficiary, per-month payments
    Shared savings componentNoYesYes (1 of the 8 states)Yes
    Community health teamsNoNoYes (5 of the 8 states)No
    Per-enrollee, per-month range ($)50–437117–2950.60–58.50 (for care management fees) 1.16–6.50 (for community health teams)8–40
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The Journal of the American Board of Family     Medicine: 28 (5)
The Journal of the American Board of Family Medicine
Vol. 28, Issue 5
September-October 2015
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Lessons for Primary Care from the First Ten Years of Medicare Coordinated Care Demonstration Projects
Winston Liaw, Miranda Moore, Chimaraoke Iko, Andrew Bazemore
The Journal of the American Board of Family Medicine Sep 2015, 28 (5) 556-564; DOI: 10.3122/jabfm.2015.05.140322

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Lessons for Primary Care from the First Ten Years of Medicare Coordinated Care Demonstration Projects
Winston Liaw, Miranda Moore, Chimaraoke Iko, Andrew Bazemore
The Journal of the American Board of Family Medicine Sep 2015, 28 (5) 556-564; DOI: 10.3122/jabfm.2015.05.140322
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