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February 23, 2015

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W W W. M A I N E B I Z . B I Z 25 F E B R UA R Y 2 3 , 2 0 1 5 according to Leavitt Partners. Beacon Health is among a smaller number — — that have both government and commercial contracts. Last fall, CMS published a report card on the Pioneer ACO pilot program's second year, showing that the participating ACOs had improved in of quality-of-care measurements — collectively improv- ing their overall quality score by , from . in to . in . CMS recognized Beacon Health for being one of the top of the remaining Pioneer ACOs for overall quality of care and for getting high marks in patient satisfaction and engagement. Another quality indicator is the three-year case management accreditation Beacon Health received last May from the National Committee for Quality Assurance for its nursing care coordination program — which Arsenault describes as a clinically driven mea- surement that's considered the industry's gold standard. Overall, CMS reports the remaining Pioneer ACOs yielded a total savings of million in the pilot program's second year. Coupled with the much larger group of ACOs in the Medicare Shared Saving Program (that chose not to accept the "shared risk" element of the Pioneer ACO program), CMS pegged its total program savings for Medicare ACOs at more than million in . Despite the accolades Beacon Health received for its second-year improvements in care and patient satisfaction and the cost savings it had achieved in its first year, it was one of three Pioneer ACOs whose cost of care for the covered Medicare patients was higher than the baseline set by CMS. As a result, under its shared savings and risk agreement with CMS, Beacon Health had to return . million to Medicare for exceeding its baseline target by .. Arsenault says Beacon Health took a calculated risk in broadening both its geographic reach and the number of patients during the pilot's second year, instead of playing it safe and simply holding fast to its first-year network and Medicare population, as some Pioneer ACOs chose to do. "e way CMS established the baseline, the farther out you get and add new lives, it can introduce some volatility in your costs," she says. "It's not fair, but that's the way it is." She anticipates Beacon Health's third-year costs for the Pioneer pilot might well produce the same result for : Improving quality but at a cost exceeding the CMS baseline. "We're hoping to break even," she says, noting that the final quarter's figures haven't been reported yet by CMS. But Arsenault says EMHS and its Beacon Health subsidiary have never seen "saving money" as the over- riding goal of the Pioneer ACO experiment. at's only one aspect of the triple-aim goal, she says, and there's ample evidence the initiatives to improve care — including moving toward payments based on value instead of volume — are already transforming primary care throughout the ACO's now-statewide network. "We know we are making a difference," she says, citing continuing declines in total hospital admissions, readmissions and emergency department admissions in the EMHS system as evidence the proactive emphasis on preventive care is helping people to stay healthy. "Patients are at the center of what we do." J M C , M a i n e b i z s e n i o r w r i t e r , c a n b e r e a c h e d a t @ . 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