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Medicare Announces Geographic-Based Approach to Value-Based Care | King & Spalding

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On December 3, 2020, CMS unveiled a new payment and care delivery model, the Geographic Direct Contracting Model (Model). The Model is a geographic-based approach to value-based care aimed at improving the quality of care and reducing costs for Medicare beneficiaries across an entire geographic region. This new experimental program advances Medicare’s shift towards value-based care.
The Model will enable Direct Contracting Entities (DCEs) to build integrated relationships with healthcare providers and community organizations in a region to better coordinate care and address the clinical and social needs of Medicare beneficiaries. DCEs will take responsibility for the total cost of care for Medicare Fee for Service (FFS) beneficiaries in a specific region and implement region wide care delivery and value-based payment systems with the goal of improving care. DCEs–which may include sophisticated Accountable Car ....

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CMS Announces New Geographic Direct Contracting Model: Letters of Interest Due by December 21, 2020 | Sheppard Mullin Richter & Hampton LLP

On December 3, 2020, Centers for Medicare & Medicaid Services (“
CMS”) announced key details concerning a new value-based reimbursement and patient care model – the Geographic Direct Contracting Model (the “
Model” or “
Geo”). Geo is a geographic-based approach to value-based Medicare reimbursement and patient care that focuses on improving health outcomes and decreasing the cost of care across an entire geographic region. Direct contracting entities (“
DCEs”) participating in the Model will be taking responsibility for the total cost of care of Medicare fee-for-service beneficiaries in their region. Accountable care organizations (ACOs), health systems, health care provider groups, health plans, and other potential applicants will be permitted to participate in the Model as DCEs. The Model intends to encourage care coordination across a physical, geographic area and to deliver care that considers a region’s particular local needs.[1] ....

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