Next-Generation ACO Moves Closer To Medicare Advantage

CMS announced Tuesday (March 10) a third type of accountable care organization that will be allowed to operate more like Medicare Advantage plans. CMS officials say the so-called next-generation ACOs respond to providers' requests for flexibility, but the demonstration is geared toward elite health care systems, and many providers would like CMS to apply many of the same flexibilities to ACOs in models where penalties aren't imposed for failure to reduce Medicare spending. “Many of these characteristics were recommended by...

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