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Moving Toward an Accountable Care Organization
Montefiore Medical CenterDonald Ashkenase, MHA
Special Advisor to the President
National Academy for State Health Policy23rd Annual State Health Policy Conference
October 4-6, 2010
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Moving Toward an Accountable Care Organization
• The Broad Concepts of an ACO– Provider Partnerships
• Structure drives population
– Manage Chronic Disease• Drives most of Medicare & Medicaid’s costs
– Digitize Care Delivery• Quality measurement and clinical
integration
– Maximize cost efficiencies • The end game remove waste from the
system
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Care Management
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Today’s Presentation
• Overview of the Bronx and Montefiore Medical Center
• Experience with capitation and care management
• Chronic Care and Readmission Initiatives• Pay for Performance• Lessons Learned
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The Bronx:Poor, Minority, Young, Heavy Disease Burden
0%
5%
10%
15%
20%
25%
30%
Bronx New York City New York State
Population < Poverty Bronx vs NYC and NYS
Age
20-44 years
65+ years 0-19
years45-64 years
Race / Ethnicity
Hisp.48%
Black31%
Other3%White
15%
Asian3%
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
ACS
Adm
its/K
Ambulatory Care Sensitive Hospital Admits
ACS Admits/K 9.95 13.98 10.98 8.26 7.85 8.60
New York City Bronx Brooklyn Manhattan Queens Staten Island
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Highest Overall Morbidity* in NYS
0
10
20
30
Fair or poor health Low Birth Weight Diabetes Asthma
Bronx
NYC
NY State
US 90th percentile
Perc
ent
of R
esi
den
ts
Sources: 2010 County Health Rankings, Robert Wood Johnson Foundation and University of Wisconsin Population Health Institute; www.counthealthrankings.org/new-york.com
*Morbidity defined as: Poor or fair health, low birth weight, poor physical and mental health days. Low birth weight is defined as <2,500 grams (5.5 pounds). Target is 90% percentile of U.S. Counties.
Sample Population Health Status MeasuresBronx vs. other NYC, NY State and US Averages - 2010
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Montefiore: “The Public Option”
• More than 75% of revenue is Medicare and Medicaid– Medicaid population increasing
• Under 25% Commercial insurance– Blue collar– Commercial population
decreasing
• Bad Debt and Charity Care on the rise– $126M (2007) to $188M
(2009)
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The Montefiore Model
• “Systemness”• Academic Medical
Center• Employed physicians• Quality Improvement• Accept financial risk • Population-based
strategy• Information
Technology
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Clinical Information Systems
100% MD Order Entry
Scheduling
Care Plans
>600 Expert rules and Decision
Support Problem ListRx Pad
Doctor’s Office and Home
Ambulatory Care
Medical Group
Hospitals
2 million patients
Master Patient Index
Lifetime Medical Record
100% MD Order Entry
Scheduling
Care Plans
>600 Expert rules and Decision
Support Problem ListRx Pad
Clinical Looking Glass•Data Warehouse•Clinical Research
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Over 85% of the Bronx Providers participating the Bronx RHIOOver 85% of the Bronx Providers participating the Bronx RHIO
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Montefiore-Albert Einstein College of MedicineAn Academic Medical Center
*All clinical faculty and MMG physicians are salaried by Montefiore** Includes residents/medical students from New York Medical College
NY Medical College Montefiore AECOM
ResearchTeachingPatient Care
2500 Medical Staff - 900 Voluntaries - 1600 F/T Faculty* - 427 PCPs* - 37 Hospitalists3200 RN/ LPN (F/T, P/T, PD)600 Allied Staff
1,100 Housestaff **- 120 Medical Students**- Health Professional Ed. - CME
- Basic- Clinical- Translational- Health Services
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MontefioreIntegrated Delivery System
• Inpatient Care – Over 93,000 admissions including 7,000 births– Three general hospitals– Children’s hospital– 1,500 beds
• Ambulatory Care – 2.5 million visits/year – 23 community primary care centers (>1 million visits)– 16 school health centers (52,000 visits)– 7 mobile healthcare units (11,000 visits)– 3 major specialty care centers (> 1 million visits)– 2 special care units (Child Advocacy Center; Lead Poisoning
Prevention)– 4 emergency departments (301,000 emergency visits)
• Post-acute care– Home care agency- 500,000 visits– Rehabilitation
• Geographic concentration– 90% of Montefiore’s patients from Bronx or Westchester
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The Montefiore Network
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Experience with Pre-payment or Capitation
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Risk Transfer Arrangements
Savings
Capitation Premium
Insurance Company
Provider-Sponsored IPA(Risk Bearing)
MSO
Primary Care HospitalSpecialty Care
▪ Capitation Payments to IPA▪ Savings Delivery System
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Montefiore IPA and CMO
• Formed in 1995• MD/ Hospital Partnership• Contracts with managed
care organizations to accept and manage risk
• Over 1,900 physician members– 500 PCPs– 1,400 Specialists
• Established in 1996• Wholly-owned subsidiary of
Montefiore Medical Center• Performs care
management delegated by health plans
• Licensed UR agent and certified claims adjustors
Montefiore IPA CMO care management operations
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Managing CareMMC’s Capitation Contracts Serve Our Community
MMC Capitated EnrolleesN=150,000
($750m in premium revenue)
Medicaid58,000
Medicare27,000
Commercial65,000
IPA/CMON=20,000
HealthfirstN=38,000
IPA/CMON=20,000
HealthfirstN=7,000
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Care ManagementActivities for payers
Network Cross-Cutting Functions
Acute CareResponsibilities
• Network Care Management Social Work/discharge
planning Utilization Review Complex Case Action
Team Documentation
Improvement Patient Navigation
• Contact Center support to hospitalists
• Patient Education• Data Analysis and Reporting• Medical staff and insurance
credentialing
Network CareSupport
• Care Guidance• Chronic Care
Management CHF Diabetes Respiratory
High Cost/Risk• Telemonitoring• Palliative care• Post-Discharge Calls
• Ambulatory EMR• Urgent care access• Medical home model• Call center support• On-site MMG case
managers• Patient Education• House Calls• Online Patient
Communication (MyMontefiore)
CMOCare Management Operations
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CMO
Delivery System Innovation and Support
Care Management/ Care Coordination
Quality/ Data Outcomes
Best Practice Modeling and
Implementation
Financial Modeling Support
IT Support and Functionality
Integrated Delivery System
Centers of Excellence
Specialty Services
PCMH
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Next Step Toward Accountable Care Coordination Incentives
CMS Medicare High Cost Beneficiary
Demonstration
The BronxCollaborative
•Joint Venture with Bosch Healthcare
•Over 6,000 Bronx Medicare FFS members
•Not-for-profit NYS Corporation
•Includes Montefiore; 2 other Bronx Hospitals;2 Health Plans
•Managing care transitions
•NYS Health Foundation funding for care transitions
•Interdisciplinary care teams
•2 pilot sites- 40k pts
•Teaching/ nonteaching practices
•Seeking NCQA certification
Patient Centered Medical Homes
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Future Opportunities
• Accountable Care Organization− Health Care Reform
− The Bronx Collaborative
− The Bronx RHIO
• Improving medical cost savings initiatives− Care Guidance Program: Population-based focus on managing the
chronically ill
− Proving the value of the CMS demonstration effect
− Expanding House Calls, the physician home visit program
• CMO new business opportunities− Care Management
− Customer Service
• Expand Network Manager Role
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Lessons Learned
The Importance of commitment to:• Integrated system of care
• Quality, Safety and Service
• Employed physician model
• Information Technology
• Alignment of financial incentives
• Partnerships
• Care Coordination