CMS Issues Guidance on Medicaid Shared Savings Models

The Centers for Medicare & Medicaid Services (CMS) released guidance Aug. 30 to help states develop Medicaid shared savings programs. Shared savings programs facilitate coordination and cooperation among providers to improve the quality of care provided to patients and reduce unnecessary costs. CMS’ guidance recognizes that while many states would like to implement innovative payment and delivery system reforms under Medicaid, there are challenges to applying Medicare accountable care organization (ACO) models to the Medicaid patient population. As a result, CMS provides methodological considerations and a series of questions for states to address as part of their proposal for a shared savings program. CMS also offers technical guidance that will assist states with their shared savings program proposals. Members of America’s Essential Hospitals can read our detailed proposal for a safety net ACO detailed proposal for a safety net ACO submitted to the Center for Medicare & Medicaid Innovation.