CMS Announces New Geographic Direct Contracting Model to Advance Regional Value-Based Care

Centers for Medicare and Medicaid Services on Wednesday announced the new voluntary payment value-based Geographic Direct Contracting model.

The model will test an approach to improving health outcomes and reducing the cost of care for Medicare beneficiaries in multiple regions and communities across the country.

Model participants will work within defined geographic regions to maintain and improve care coordination.

Specifically, model participants will coordinate care and clinical management for beneficiaries in original Medicare in their region. This coordination may include care management services and telehealth, as well as help for beneficiaries to understand which providers have a history of delivering better results and lower costs over the long term.

To help with delivering improved outcomes, participants may create a network of preferred providers. Participants and preferred providers may choose to enter into alternative payment arrangements, including prospective capitation and other value-based arrangements.