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Tracking the adoption of alternative payment models (CMS-10620)

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File TitleTracking the adoption of alternative payment models (CMS-10620)
AuthorAndrea Caballero
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2018 National APM Data Collection Effort

Introduction Tab

Introduction
The Health Care Payment Learning and Action Network's (LAN) goal is to bring together private payers, providers, employers,
state partners, consumer groups, individual consumers, and other stakeholders to accelerate the transition to alternative
payment models (APMs).
To measure the nation's progress, the LAN launched the National APM Data Collection Effort in 2016. This workbook will be used
to collect health plan data according to the Refreshed APM Framework, which was revised in January 2017, and line of business
to be aggregated with other plan responses.
Refreshed APM Framework Overview

Contents
Tab 1 Introduction
Introducing the workbook and providing important instructions
Tab 2 General Information
Background description about health plan data submission
Tab 3 Commercial Metrics (Comm Metrics)
Metrics to report commercial dollars flowing through APMs
Tab 4 Medicare Advantage Metrics (MA Metrics)Metrics to report Medicare Advantage dollars flowing through APMs
Tab 5 Medicaid Metrics (MCO Metrics)
Metrics to report Medicaid dollars flowing through APMs
Tab 6 Cross-Checking
Questions to identify whether there are outliers and data needs correction
Tab 7 Definitions
Defines key terms
If you have any questions, please view the Frequently Asked Questions or email Andrea Caballero at [email protected]

2018 National APM Data Collection Effort

General Information Tab

General Information
Questions
Provide contact name,
email and phone for the
health plan respondent.
What is the total number
of members covered by
the health plan by line of
business?
In which state(s) does the
health plan have business?
Please specify which line of
business next to the state
name.
(C - commercial, MA Medicare Advantage, MCO
- Medicaid)

Responses
Name
Email
Phone
Comm
MA
MCO
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico

2018 National APM Data Collection Effort

General Information Tab

New York
North Carolina
North Dakota
Ohio
Oklahoma
Oregon
Pennsylvania
Puerto Rico
Rhode Island
South Carolina
South Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
West Virginia
Wisconsin
Wyoming
What is the plan's total
Comm
health care spend (in- and
MA
out-of-network) by line of
business?
MCO
Please specify if you are
using CY 2018 data or most
recent 12 months. Please
specify if the time
reporting differs by line of
business.
If you are using most
recent 12 months, please
specify the 12 month
period.
Does your submission
include prescription drug Comm
claims data under the
pharmacy benefit in the
MA
denominator (total
spend)? If yes, what
percent of the pharmacy
benefit spend is included? MCO
Does your submission
include behavioral health Comm
claims data in the
denominator (total
spend)? If yes, what
percent of the behavioral

2018
APM Data Collection Effort
DoesNational
your submission

include behavioral health
claims data in the
denominator (total
MA
spend)? If yes, what
percent of the behavioral
health spend is included? MCO
Please list other
assumptions,
qualifications,
considerations, or
limitations related to the
data submission.
How many hours did it
take your organization to
complete this survey by
line of business? Please
report your response in
hours.

Comm
MA
MCO

General Information Tab

2018 National APM Data Collection Effort

Commercial Metrics Tab

Commercial Metrics
Goal/Purpose = Track total dollars paid through legacy payments and alternative payment methods (APMs) in calendar year (CY) 2018 or most recent 12 months, as
specified.
The goal is NOT to gather information on a projection or estimation of where the plan would be if their contracts were in place the entire calendar year. Rather it is
based on what the plan actually paid in claims for the specified time period.

Methods

The metrics should report actual dollars paid through APMs CY 2018 or during the specified time period. For example, if a provider is paid $120,000 for the entire year,
but entered a shared savings contract with the plan on July 1, 2018, the payments the provider received from January 1, 2018 through June 31, 2018 ($60,000) would be
reported as fee-for-service and the payments the provider received from July 1, 2018 through December 31, 2018 ($60,000) would be reported as shared savings, if the
reporting period is for CY 2018. An acceptable approach is annualizing dollars paid in APMs based on a point in time, e.g., on a single day such as December 31, 2018,
only if the APM contract existed for the full 12-month period. For example, a provider in a shared savings arrangement received $300 (a combination of $285 base
payment plus $15 in shared savings), which, if multiplied by 365 (annualized), would be reported as $109,500 in shared savings CY 2018. An unacceptable approach is
counting all of the dollars paid to the provider as being in APMs for the entire year, regardless of when the contract was executed (e.g. considering the first example,
counting $120,000 in shared savings even though the contract was only in place for half of the reporting year). NOTE: this method is much more vulnerable to variation
from actual spending depending on the representativeness of the time period annualized.
Plans should report the total dollars paid, which includes the base payment plus any incentive, such as fee-for-service with a bonus for performance (P4P), fee-forservice and savings that were shared with providers, etc.
To the extent payment to a provider includes multiple APMs, the plans should put the dollars in the dominant APM, meaning the most advanced method. For example,
if a provider has a shared savings contract with a health plan and the provider is also eligible for performance bonuses for meeting quality measures (P4P), the health
plan would report the FFS claims, shared savings payments (if any), and the P4P dollars in the shared savings subcategory (Category 3).

Metrics

2018 National APM Data Collection Effort

Commercial Metrics Tab

Please note that the dollars paid through the various APMs (numerator) are actual dollars paid to providers CY 2018 or most recent 12 months unless another method,
such as annualizing, is used. Numerators should not be calculated based on members attributed to APMs unless the provider is held responsible for all care (in network,
out of network, inpatient, outpatient, behavioral health, pharmacy) the patient receives.
#

Numerator/Denominator

Total dollars paid to providers (in and out of
1 network) for commercial members in CY 2018
or most recent 12 months.

Dollar Value

Description of Metric
$0.00 Denominator to inform the metrics below

Metric Calculation
NA

Alternative Payment Model Framework - Category 1 (Metrics below apply to total dollars paid for commercial members. Metrics are NOT
linked to quality)
Total dollars paid to providers through legacy
payments (including fee-for-service, diagnosis2 related groups, or capitation without quality
components) in CY 2018 or most recent 12
months.

Dollars under legacy payments (including Feefor-Service, Diagnosis-Related Groups, or
capitation without quality components):
$0.00
Percent of total dollars paid through legacy
payments in CY 2018 or most recent 12
months.

#DIV/0!

Foundational spending to improve care:
Percent of dollars paid for foundational
$0.00
spending to improve care in CY 2018 or most
recent 12 months.

#DIV/0!

Alternative Payment Model Framework - Category 2 (Metrics below apply to total dollars paid for commercial members. Metrics are linked to
quality).
Dollars paid for foundational spending to
3 improve care (linked to quality) in CY 2018 or
most recent 12 months.

2018 National APM Data Collection Effort

Commercial Metrics Tab

Total dollars paid to providers through fee-forService plus pay-for-performance payments
4
(linked to quality) in CY 2018 or most recent 12
months.

Dollars in P4P programs: Percent of total
dollars paid through FFS plus P4P (linked to
$0.00 quality) payments in CY 2018 or most recent 12
months.
* CPR historic metric - trend.

Total dollars paid in Category 2 in CY 2018 or
5
most recent 12 months.

Payment Reform - APMs built on FFS linked to
$0.00 quality: Percent of total dollars paid in
Category 2.

#DIV/0!

#DIV/0!

Alternative Payment Model Framework - Category 3 (Metrics below apply to total dollars paid for commercial members. Metrics are linked to
quality)
Total dollars paid to providers through
traditional shared-savings (linked to quality)
6
payments in CY 2018 or most recent 12
months.

Dollars in traditional shared-savings (linked to
quality) programs: Percent of total dollars paid
$0.00
through traditional shared-savings payments in
CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
utilization-based shared-savings (linked to
7
quality) payments in CY 2018 or most recent 12
months.

Dollars in utilization-based shared-savings
(linked to quality) programs: Percent of total
$0.00 dollars paid through utilization-based sharedsavings payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through fee-forservice-based shared-risk (linked to quality)
8
payments in CY 2018 or most recent 12
months.

Dollars in FFS-based shared-risk programs:
Percent of total dollars paid through FFS-based
$0.00
shared-risk (linked to quality) payments in CY
2018 or most recent 12 months.

#DIV/0!

2018 National APM Data Collection Effort

Commercial Metrics Tab

Total dollars paid to providers through
procedure-based bundled/episode payments
9
(linked to quality) programs in CY 2018 or most
recent 12 months.

Dollars in procedure-based bundled/episode
payments (linked to quality) programs: Percent
$0.00 of total dollars paid through procedure-based
bundled/episode payments in CY 2018 or most
recent 12 months.

Total dollars paid in Category 3 in CY 2018 or
10
most recent 12 months.

Payment Reform - APMs built on FFS
$0.00 architecture: Percent of total dollars paid in
Category 3.

#DIV/0!

#DIV/0!

Alternative Payment Model Framework - Category 4 (Metrics below apply to total dollars paid for commercial members. Metrics are linked to
quality)
Total dollars paid to providers through
condition-specific, population-based payments
11
(linked to quality) in CY 2018 or most recent 12
months.

Dollars under legacy payments (including Feefor-Service, Diagnosis-Related Groups, or
capitation without quality components):
$0.00
Percent of total dollars paid through legacy
payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through
population-based payments that are NOT
12
condition-specific (linked to quality) in CY 2018
or most recent 12 months.

Population-based payments to providers that
are not condition-specific and linked to quality:
Percent of total dollars paid through
$0.00
population-based (linked to quality) payments
that are not condition-specific in CY 2018 or
most recent 12 months.

#DIV/0!

2018 National APM Data Collection Effort

Commercial Metrics Tab

Total dollars paid to providers through
condition-specific, bundled/episode payments
13
(linked to quality) in CY 2018 or most recent 12
months.

Dollars in condition-specific bundled/episode
payment programs (linked to quality): Percent
$0.00 of total dollars paid through condition-specific
bundled/episode-based payments linked to
quality in CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through full or
percent of premium population-based
14
payments (linked to quality) in CY 2018 or most
recent 12 months.

Dollars in full or percent of premium
population-based payment programs (linked to
quality): Percent of total dollars paid through
$0.00
full or percent of premium population-based
payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through
integrated finance and delivery system
15
programs (linked to quality) in CY 2018 or most
recent 12 months.

Dollars through integrated finance and delivery
programs (linked to quality): Percent of total
$0.00 dollars paid through integrated finance and
delivery programs in CY 2018 or most recent 12
months.

#DIV/0!

16

Total dollars paid in Category 4 in CY 2018 or
most recent 12 months.

Payment Reform - Population-based APMs:
Percent of total dollars paid in Category 4.

#DIV/0!

Legacy payments not linked to quality: Percent
of total dollars paid based through legacy
$0.00
payments (including FFS without a quality
component and DRGs).

#DIV/0!

$0.00

Aggregated Metrics (Comparison between Category 1 and Categories 2-4)
Total dollars paid to providers through legacy
17 payments in CY 2018 or most recent 12
months.

2018 National APM Data Collection Effort

Commercial Metrics Tab

Total dollars paid to providers through
18 payment reforms in Categories 2-4 in CY 2018
or most recent 12 months.

Payment Reform Penetration - Dollars in
Categories 2-4: Percent of total dollars paid
$0.00
through payment reforms in Categories 2-4 in
CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
19 payment reforms in Categories 3 and 4 in CY
2018 or most recent 12 months.

Payment Reform Penetration - Dollars in
Categories 3 and 4: Percent of total dollars paid
$0.00
through payment reforms in Categories 3 and 4
in CY 2018 or most recent 12 months.

#DIV/0!

DRAFT REVISED METRICS FOR APM FRAMEWORK
3.9.16

#

Numerator

Numerator Value

Denominator

Denominator
Value

Method for
Calculating and
Reporting the
Metric

Metric

Aggregated Metrics (Comparison between Category 1 and Categories 2-4)
Total dollars paid to
providers through
legacy payments
(including FFS
16 without a quality
component and
DRGs) payments in
CY 2015 or most
recent 12 months.
Total dollars paid to
providers through
payment reforms in
17
Categories 2-4 in CY
2015 or most recent
12 months.

Category 1, Q2, Cell
C4

Total dollars paid
to providers for
commercial
members in CY
2015 or most
recent 12 months.

Total dollars paid
Category 2, Q5, cell to providers for
commercial
C5 +
Category 3, Q11, cell members in CY
2015 or most
C8 +
Category 4, Q16, cell recent 12 months.
C7

Legacy payments not
Roll-up metric
linked to quality:
showing the
Percent of total dollars
percentage of
paid based through
Err:509
payments that
legacy payments
are still based on (including FFS without a
legacy payments. quality component and
DRGs).
Payment Reform
Penetration - Dollars in
Roll-up metric
Categories 2-4: Percent
based upon the
of total dollars paid
Err:509 distribution of
through payment
payment reform
reforms in Categories 2-4
models.
in CY 2015 or most
recent 12 months.

Please list any
assumptions,
Metric Calculation
qualifications,
considerations, or other
limitations of the data

DRAFT REVISED METRICS FOR APM FRAMEWORK
3.9.16

Total dollars paid to
providers through
payment reforms in
18
Category 3, Q11, cell
Categories 3 and 4 in
C8 +
CY 2015 or most
Category 4, Q16, cell
recent 12 months.
C7

Total dollars paid
to providers for
commercial
members in CY
2015 or most
recent 12 months.

Payment Reform
Penetration - Dollars in
Roll-up metric
Categories 3 and 4:
based upon the
Percent of total dollars
Err:509 distribution of
paid through payment
payment reform
reforms in Categories 3
models.
and 4 in CY 2015 or most
recent 12 months.

2018 National APM Data Collection Effort

Medicare Advantage Metrics Tab

Medicare Advantage Metrics
Goal/Purpose = Track total dollars paid through legacy payments and alternative payment methods (APMs) in calendar year (CY) 2018 or most recent 12 months, as
specified.
The goal is NOT to gather information on a projection or estimation of where the plan would be if their contracts were in place the entire calendar year. Rather it is
based on what the plan actually paid in claims for the specified time period.

Methods

2018 National APM Data Collection Effort

Medicare Advantage Metrics Tab

The metrics should report actual dollars paid through APMs CY 2018 or during the specified time period. For example, if a provider is paid $120,000 for the entire year,
but entered a shared savings contract with the plan on July 1, 2018, the payments the provider received from January 1, 2018 through June 31, 2018 ($60,000) would be
reported as fee-for-service and the payments the provider received from July 1, 2018 through December 31, 2018 ($60,000) would be reported as shared savings, if the
reporting period is for CY 2018. An acceptable approach is annualizing dollars paid in APMs based on a point in time, e.g., on a single day such as December 31, 2018,
only if the APM contract existed for the full 12-month period. For example, a provider in a shared savings arrangement received $300 (a combination of $285 base
payment plus $15 in shared savings), which, if multiplied by 365 (annualized), would be reported as $109,500 in shared savings CY 2018. An unacceptable approach is
counting all of the dollars paid to the provider as being in APMs for the entire year, regardless of when the contract was executed (e.g. considering the first example,
counting $120,000 in shared savings even though the contract was only in place for half of the reporting year). NOTE: this method is much more vulnerable to variation
from actual spending depending on the representativeness of the time period annualized.
Plans should report the total dollars paid, which includes the base payment plus any incentive, such as fee-for-service with a bonus for performance (P4P), fee-forservice and savings that were shared with providers, etc.
To the extent payment to a provider includes multiple APMs, the plans should put the dollars in the dominant APM, meaning the most advanced method. For example,
if a provider has a shared savings contract with a health plan and the provider is also eligible for performance bonuses for meeting quality measures (P4P), the health
plan would report the FFS claims, shared savings payments (if any), and the P4P dollars in the shared savings subcategory (Category 3).

Metrics
Please note that the dollars paid through the various APMs (numerator) are actual dollars paid to providers CY 2018 or most recent 12 months unless another method,
such as annualizing, is used. Numerators should not be calculated based on members attributed to APMs unless the provider is held responsible for all care (in network,
out of network, inpatient, outpatient, behavioral health, pharmacy) the patient receives.
#

Numerator/Denominator

Dollar Value

Description of Metric

Metric Calculation

2018 National APM Data Collection Effort

Total dollars paid to providers (in and out of
1 network) for Medicare Advantage members in
CY 2018 or most recent 12 months.

Medicare Advantage Metrics Tab

$0.00 Denominator to inform the metrics below

NA

Alternative Payment Model Framework - Category 1 (Metrics below apply to total dollars paid for MA members. Metrics are NOT linked to
quality)
Total dollars paid to providers through legacy
payments (including fee-for-service, diagnosis2 related groups, or capitation without quality
components) in CY 2018 or most recent 12
months.

Dollars under legacy payments (including Feefor-Service, Diagnosis-Related Groups, or
capitation without quality components):
$0.00
Percent of total dollars paid through legacy
payments in CY 2018 or most recent 12
months.

#DIV/0!

Alternative Payment Model Framework - Category 2 (Metrics below apply to total dollars paid for MA members. Metrics are linked to
quality).
Dollars paid for foundational spending to
3 improve care (linked to quality) in CY 2018 or
most recent 12 months.
Total dollars paid to providers through fee-forService plus pay-for-performance payments
4
(linked to quality) in CY 2018 or most recent 12
months.
5

Total dollars paid in Category 2 in CY 2018 or
most recent 12 months.

Foundational spending to improve care:
Percent of dollars paid for foundational
$0.00
spending to improve care in CY 2018 or most
recent 12 months.
Dollars in P4P programs: Percent of total
dollars paid through FFS plus P4P (linked to
$0.00 quality) payments in CY 2018 or most recent 12
months.
* CPR historic metric - trend.
Payment Reform - APMs built on FFS linked to
$0.00 quality: Percent of total dollars paid in
Category 2.

#DIV/0!

#DIV/0!

#DIV/0!

Alternative Payment Model Framework - Category 3 (Metrics below apply to total dollars paid for MA members. Metrics are linked to quality)

2018 National APM Data Collection Effort

Medicare Advantage Metrics Tab

Total dollars paid to providers through
traditional shared-savings (linked to quality)
6
payments in CY 2018 or most recent 12
months.

Dollars in traditional shared-savings (linked to
quality) programs: Percent of total dollars paid
$0.00
through traditional shared-savings payments in
CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
utilization-based shared-savings (linked to
7
quality) payments in CY 2018 or most recent 12
months.

Dollars in utilization-based shared-savings
(linked to quality) programs: Percent of total
$0.00 dollars paid through utilization-based sharedsavings payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through fee-forservice-based shared-risk (linked to quality)
8
payments in CY 2018 or most recent 12
months.

Dollars in FFS-based shared-risk programs:
Percent of total dollars paid through FFS-based
$0.00
shared-risk (linked to quality) payments in CY
2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
procedure-based bundled/episode payments
9
(linked to quality) programs in CY 2018 or most
recent 12 months.

Dollars in procedure-based bundled/episode
payments (linked to quality) programs: Percent
$0.00 of total dollars paid through procedure-based
bundled/episode payments in CY 2018 or most
recent 12 months.

#DIV/0!

Total dollars paid in Category 3 in CY 2018 or
10
most recent 12 months.

Payment Reform - APMs built on FFS
$0.00 architecture: Percent of total dollars paid in
Category 3.

#DIV/0!

Alternative Payment Model Framework - Category 4 (Metrics below apply to total dollars paid for MA members. Metrics are linked to quality)

2018 National APM Data Collection Effort

Medicare Advantage Metrics Tab

Total dollars paid to providers through
condition-specific, population-based payments
11
(linked to quality) in CY 2018 or most recent 12
months.

Dollars under legacy payments (including Feefor-Service, Diagnosis-Related Groups, or
capitation without quality components):
$0.00
Percent of total dollars paid through legacy
payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through
condition-specific, bundled/episode payments
12
(linked to quality) in CY 2018 or most recent 12
months.

Dollars in condition-specific bundled/episode
payment programs (linked to quality): Percent
$0.00 of total dollars paid through condition-specific
bundled/episode-based payments linked to
quality in CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
population-based payments that are NOT
13
condition-specific (linked to quality) in CY 2018
or most recent 12 months.

Population-based payments to providers that
are not condition-specific and linked to quality:
Percent of total dollars paid through
$0.00
population-based (linked to quality) payments
that are not condition-specific in CY 2018 or
most recent 12 months.

#DIV/0!

Total dollars paid to providers through full or
percent of premium population-based
14
payments (linked to quality) in CY 2018 or most
recent 12 months.

Dollars in full or percent of premium
population-based payment programs (linked to
quality): Percent of total dollars paid through
$0.00
full or percent of premium population-based
payments in CY 2018 or most recent 12
months.

#DIV/0!

2018 National APM Data Collection Effort

Total dollars paid to providers through
integrated finance and delivery system
15
programs (linked to quality) in CY 2018 or most
recent 12 months.

Dollars through integrated finance and delivery
programs (linked to quality): Percent of total
$0.00 dollars paid through integrated finance and
delivery programs in CY 2018 or most recent 12
months.

#DIV/0!

Payment Reform - Population-based APMs:
Percent of total dollars paid in Category 4.

#DIV/0!

Total dollars paid to providers through legacy
17 payments in CY 2018 or most recent 12
months.

Legacy payments not linked to quality: Percent
of total dollars paid based through legacy
$0.00
payments (including FFS without a quality
component and DRGs).

#DIV/0!

Total dollars paid to providers through
18 payment reforms in Categories 2-4 in CY 2018
or most recent 12 months.

Payment Reform Penetration - Dollars in
Categories 2-4: Percent of total dollars paid
$0.00
through payment reforms in Categories 2-4 in
CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
19 payment reforms in Categories 3 and 4 in CY
2018 or most recent 12 months.

Payment Reform Penetration - Dollars in
Categories 3 and 4: Percent of total dollars paid
$0.00
through payment reforms in Categories 3 and 4
in CY 2018 or most recent 12 months.

#DIV/0!

16

Total dollars paid in Category 4 in CY 2018 or
most recent 12 months.

Medicare Advantage Metrics Tab

$0.00

Aggregated Metrics (Comparison between Category 1 and Categories 2-4)

REVISED DRAFT METRICS FOR APM FRAMEWORK
3.9.16

Medicaid Metrics
Goal/Purpose = Track total dollars paid through legacy payments and alternative payment methods (APMs) in calendar year (CY) 2018 or most recent 12 months, as
specified.
The goal is NOT to gather information on a projection or estimation of where the plan would be if their contracts were in place the entire calendar year. Rather it is
based on what the plan actually paid in claims for the specified time period.

Methods
The metrics should report actual dollars paid through APMs CY 2018 or during the specified time period. For example, if a provider is paid $120,000 for the entire year,
but entered a shared savings contract with the plan on July 1, 2018, the payments the provider received from January 1, 2018 through June 31, 2018 ($60,000) would be
reported as fee-for-service and the payments the provider received from July 1, 2018 through December 31, 2018 ($60,000) would be reported as shared savings, if the
reporting period is for CY 2018. An acceptable approach is annualizing dollars paid in APMs based on a point in time, e.g., on a single day such as December 31, 2018,
only if the APM contract existed for the full 12-month period. For example, a provider in a shared savings arrangement received $300 (a combination of $285 base
payment plus $15 in shared savings), which, if multiplied by 365 (annualized), would be reported as $109,500 in shared savings CY 2018. An unacceptable approach is
counting all of the dollars paid to the provider as being in APMs for the entire year, regardless of when the contract was executed (e.g. considering the first example,
counting $120,000 in shared savings even though the contract was only in place for half of the reporting year). NOTE: this method is much more vulnerable to variation
from actual spending depending on the representativeness of the time period annualized.
Plans should report the total dollars paid, which includes the base payment plus any incentive, such as fee-for-service with a bonus for performance (P4P), fee-forservice and savings that were shared with providers, etc.
To the extent payment to a provider includes multiple APMs, the plans should put the dollars in the dominant APM, meaning the most advanced method. For example,
if a provider has a shared savings contract with a health plan and the provider is also eligible for performance bonuses for meeting quality measures (P4P), the health
plan would report the FFS claims, shared savings payments (if any), and the P4P dollars in the shared savings subcategory (Category 3).

REVISED DRAFT METRICS FOR APM FRAMEWORK
3.9.16

Metrics
Please note that the dollars paid through the various APMs (numerator) are actual dollars paid to providers CY 2018 or most recent 12 months unless another method,
such as annualizing, is used. Numerators should not be calculated based on beneficiaries attributed to APMs unless the provider is held responsible for all care (in
network, out of network, inpatient, outpatient, behavioral health, pharmacy) the patient receives.
#

Numerator/Denominator

Total dollars paid to providers (in and out of
1 network) for Medicaid beneficiaries in CY 2018
or most recent 12 months.

Dollar Value

Description of Metric
$0.00 Denominator to inform the metrics below

Metric Calculation
NA

Alternative Payment Model Framework - Category 1 (Metrics below apply to total dollars paid for Medicaid beneficiaries. Metrics are NOT
linked to quality)
Total dollars paid to providers through legacy
payments (including fee-for-service, diagnosis2 related groups, or capitation without quality
components) in CY 2018 or most recent 12
months.

Dollars under legacy payments (including Feefor-Service, Diagnosis-Related Groups, or
capitation without quality components):
$0.00
Percent of total dollars paid through legacy
payments in CY 2018 or most recent 12
months.

#DIV/0!

Foundational spending to improve care:
Percent of dollars paid for foundational
$0.00
spending to improve care in CY 2018 or most
recent 12 months.

#DIV/0!

Alternative Payment Model Framework - Category 2 (Metrics below apply to total dollars paid for Medicaid beneficiaries. Metrics are linked
to quality).
Dollars paid for foundational spending to
3 improve care (linked to quality) in CY 2018 or
most recent 12 months.

REVISED DRAFT METRICS FOR APM FRAMEWORK
3.9.16

Total dollars paid to providers through fee-forService plus pay-for-performance payments
4
(linked to quality) in CY 2018 or most recent 12
months.

Dollars in P4P programs: Percent of total
dollars paid through FFS plus P4P (linked to
$0.00 quality) payments in CY 2018 or most recent 12
months.
* CPR historic metric - trend.

Total dollars paid in Category 2 in CY 2018 or
most recent 12 months.

Payment Reform - APMs built on FFS linked to
$0.00 quality: Percent of total dollars paid in
Category 2.

5

#DIV/0!

#DIV/0!

Alternative Payment Model Framework - Category 3 (Metrics below apply to total dollars paid for Medicaid beneficiaries. Metrics are linked to
quality)
Total dollars paid to providers through
traditional shared-savings (linked to quality)
6
payments in CY 2018 or most recent 12
months.

Dollars in traditional shared-savings (linked to
quality) programs: Percent of total dollars paid
$0.00
through traditional shared-savings payments in
CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
utilization-based shared-savings (linked to
7
quality) payments in CY 2018 or most recent 12
months.

Dollars in utilization-based shared-savings
(linked to quality) programs: Percent of total
$0.00 dollars paid through utilization-based sharedsavings payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through fee-forservice-based shared-risk (linked to quality)
8
payments in CY 2018 or most recent 12
months.

Dollars in FFS-based shared-risk programs:
Percent of total dollars paid through FFS-based
$0.00
shared-risk (linked to quality) payments in CY
2018 or most recent 12 months.

#DIV/0!

REVISED DRAFT METRICS FOR APM FRAMEWORK
3.9.16

Total dollars paid to providers through
procedure-based bundled/episode payments
9
(linked to quality) programs in CY 2018 or most
recent 12 months.

Dollars in procedure-based bundled/episode
payments (linked to quality) programs: Percent
$0.00 of total dollars paid through procedure-based
bundled/episode payments in CY 2018 or most
recent 12 months.

Total dollars paid in Category 3 in CY 2018 or
10
most recent 12 months.

Payment Reform - APMs built on FFS
$0.00 architecture: Percent of total dollars paid in
Category 3.

#DIV/0!

#DIV/0!

Alternative Payment Model Framework - Category 4 (Metrics below apply to total dollars paid for Medicaid beneficiaries. Metrics are linked to
quality)
Total dollars paid to providers through
condition-specific, population-based payments
11
(linked to quality) in CY 2018 or most recent 12
months.

Dollars under legacy payments (including Feefor-Service, Diagnosis-Related Groups, or
capitation without quality components):
$0.00
Percent of total dollars paid through legacy
payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through
condition-specific, bundled/episode payments
12
(linked to quality) in CY 2018 or most recent 12
months.

Dollars in condition-specific bundled/episode
payment programs (linked to quality): Percent
$0.00 of total dollars paid through condition-specific
bundled/episode-based payments linked to
quality in CY 2018 or most recent 12 months.

#DIV/0!

REVISED DRAFT METRICS FOR APM FRAMEWORK
3.9.16

Total dollars paid to providers through
population-based payments that are NOT
13
condition-specific (linked to quality) in CY 2018
or most recent 12 months.

Population-based payments to providers that
are not condition-specific and linked to quality:
Percent of total dollars paid through
$0.00
population-based (linked to quality) payments
that are not condition-specific in CY 2018 or
most recent 12 months.

#DIV/0!

Total dollars paid to providers through full or
percent of premium population-based
14
payments (linked to quality) in CY 2018 or most
recent 12 months.

Dollars in full or percent of premium
population-based payment programs (linked to
quality): Percent of total dollars paid through
$0.00
full or percent of premium population-based
payments in CY 2018 or most recent 12
months.

#DIV/0!

Total dollars paid to providers through
integrated finance and delivery system
15
programs (linked to quality) in CY 2018 or most
recent 12 months.

Dollars through integrated finance and delivery
programs (linked to quality): Percent of total
$0.00 dollars paid through integrated finance and
delivery programs in CY 2018 or most recent 12
months.

#DIV/0!

16

Total dollars paid in Category 4 in CY 2018 or
most recent 12 months.

Payment Reform - Population-based APMs:
Percent of total dollars paid in Category 4.

#DIV/0!

Legacy payments not linked to quality: Percent
of total dollars paid based through legacy
$0.00
payments (including FFS without a quality
component and DRGs).

#DIV/0!

$0.00

Aggregated Metrics (Comparison between Category 1 and Categories 2-4)
Total dollars paid to providers through legacy
17 payments in CY 2018 or most recent 12
months.

REVISED DRAFT METRICS FOR APM FRAMEWORK
3.9.16

Total dollars paid to providers through
18 payment reforms in Categories 2-4 in CY 2018
or most recent 12 months.

Payment Reform Penetration - Dollars in
Categories 2-4: Percent of total dollars paid
$0.00
through payment reforms in Categories 2-4 in
CY 2018 or most recent 12 months.

#DIV/0!

Total dollars paid to providers through
19 payment reforms in Categories 3 and 4 in CY
2018 or most recent 12 months.

Payment Reform Penetration - Dollars in
Categories 3 and 4: Percent of total dollars paid
$0.00
through payment reforms in Categories 3 and 4
in CY 2018 or most recent 12 months.

#DIV/0!

DRAFT REVISED METRICS FOR APM FRAMEWORK
2.17.16

Cross-Checking
Questions
What payment models
were in effect during
specified the period of
reporting? Please specify
the line of business.

Responses
Comm

MA

MCO

Comm
For each program
identified in the prior
question, indicate when
the program was
launched. Please specify
the line of business.
Provide the launch date in
column B, C, or D.

MA

MCO

For each program
identified in the first
question, identify its
current stage of
implementation (Pilot,
Expansion, Fully
Implemented)*. Please
specify the line of
business.

Comm

MA

MCO

Comm
If dollars are paid to
providers through
integrated finance and
delivery system programs
in CY 2018, please

MA

MCO

If dollars are paid to
providers through
integrated finance and
delivery system programs
in CY 2018, please
breakdown the percentage
of those dollars flowing
through each of the
underlying payment
method the health plan
uses to pay network
providers.
Sum for each market
segment must equal 100.

DRAFT REVISED METRICS FOR APM FRAMEWORK
2.17.16

0

0

0

DRAFT REVISED METRICS FOR APM FRAMEWORK
2.17.16

Cross-Checking
Foundational spending to improve care
FFS plus Pay for Performance
Traditional Shared Savings
Utilization-based Shared Savings
FFS-based Shared Risk
Procedure-based Bundled/Episode Payments
Population-based Payments that are NOT condition-specific
Condition-specific Population-based Payments
Condition-Specific Bundled/Episode Payments
Full or Percent of Premium Population-based Payment
Integrated Finance and Delivery System Programs
Foundational spending to improve care
FFS plus Pay for Performance
Traditional Shared Savings
Utilization-based Shared Savings
FFS-based Shared Risk
Procedure-based Bundled/Episode Payments
Population-based Payments that are NOT condition-specific
Condition-specific Population-based Payments
Condition-Specific Bundled/Episode Payments
Full or Percent of Premium Population-based Payment
Integrated Finance and Delivery System Programs
Foundational spending to improve care
FFS plus Pay for Performance
Traditional Shared Savings
Utilization-based Shared Savings
FFS-based Shared Risk
Procedure-based Bundled/Episode Payments
Population-based Payments that are NOT condition-specific
Condition-specific Population-based Payments
Condition-Specific Bundled/Episode Payments
Full or Percent of Premium Population-based Payment
Integrated Finance and Delivery System Programs

DRAFT REVISED METRICS FOR APM FRAMEWORK
2.17.16

Salary
Legacy payments
Foundational spending to improve care
FFS plus Pay for Performance
Traditional Shared Savings
Utilization-based Shared Savings
FFS-based Shared Risk
Procedure-based Bundled/Episode Payments
Population-based Payments that are NOT condition-specific
Condition-specific Population-based Payments
Condition-Specific Bundled/Episode Payments
Full or Percent of Premium Population-based Payment

*Pilot mode (e.g. only available for a subset of members
and/or providers)
*Expansion mode (e.g. passed initial pilot stage)
*Fully implemented (e.g. generally available)

Definitions
Terms

Alternative Payment Model (APM)

Appropriate care measures

Category 1

Category 2

Category 3

Category 4

Commercial Market

Commercial members/
Medicare Advantage members/
Medicaid beneficiaries
Condition-specific bundled/episode
payments

Conditions-specific population-based
payment

CY 2018 or most recent 12 months

Diagnosis-related groups (DRGs)

Fee-for-service

Foundational spending

Full or percent of premium populationbased payments

Integrated finance and delivery system
payments

Legacy payments

Linked to quality

Medicaid Market

Medicare Advantage Market

Pay-for-performance

Population-based payments that are
NOT condition-specific

Procedure-based bundled/episode
payment

Provider

Shared risk

Total dollars

Traditional shared savings

Utilization-based shared savings

Definitions
Definitions
Health care payment methods that use financial incentives to promote or leverage greater value including higher quality care at lower costs - for patients, purchasers, payers and providers. This
definition is specific to this exercise. If you are interested in MACRA's definition, please reference
MACRA for more details.
Refreshed APM Framework White Paper
MACRA Website
Appropriate care measures are metrics that are based on evidence based guidelines and
comparative effective research. Such measures assess how well providers avoid unnecessarily
costly, harmful, and unnecessary procedures. These measures also address patients’ goals,
prognoses, and needs; and they reflect the outcome of shared decision-making among patients,
caregivers, and clinicians (e.g. Choosing Wisely measures). Some examples of appropriate care
measures include, but are not limited to: unnecessary –readmissions, preventable admissions,
unnecessary imaging, appropriate medication use.
Measures of appropriate care are required in order for a payment method to qualify as a Category 3
or 4 APM to ensure providers are incentivized to reduce/eliminate care that is wasteful and
potentially harmful to patients. Appropriate care measures also ensure providers do not withhold
necessary care and are incentivized to provide necessary care.
Fee-for-service with no link to quality. These payments utilize traditional FFS payments (i.e.,
payments made for units of service) that are adjusted to account for neither infrastructure
investments, nor provider reporting of quality data, nor provider performance on cost and quality
metrics. Additionally, it is important to note that diagnosis related groups (DRGs) that are not linked
to quality and value are classified in Category 1.
Fee-for-service linked to quality. These payments utilize traditional FFS payments (i.e., payments
made for units of service), but these payments are subsequently adjusted based on infrastructure
investments to improve care or clinical services, whether providers report quality data, or how well
providers perform on cost and quality metrics.
Alternative payment methods (APMs) built on fee-for-service architecture. These payments are
based on FFS architecture, while providing mechanisms for effective management of a set of
procedures, an episode of care, or all health services provided for individuals. In addition to taking
quality considerations into account, payments are based on cost (and occasionally utilization)
performance against a target, irrespective of how the financial or utilization benchmark is
established, updated, or adjusted. Providers that who meet their quality, and cost or utilization
targets are eligible to share in savings, and those who do not may be held financially accountable.
Category 3 APMs must hold providers financially accountable for performance on appropriate care
measures. See definition of “appropriate care measures” for a description and examples.

Population-based payment. These payments are structured in a manner that encourages providers
to deliver well-coordinated, high quality, person-centered care within a defined scope of practice, a
comprehensive collection of care or a highly integrated finance and delivery system. These models
hold providers accountable for meeting quality and, increasingly, person-centered care goals for a
population of patients or members. Payments are intended to cover a wide range of preventive
health, health maintenance, and health improvement services, as well as acute and chronic care
services. These payments will likely require care delivery systems to establish teams of health
professionals to provide enhanced access and coordinated care. Category 4 APMs require
accountability for appropriate care measures as a safeguard against incentives to limit necessary
care.
For the purposes of this survey, the commercial market segment includes individual, small group,
large group, fully insured, self-funded and exchange business. To the extent a health plan provides
benefits for the Federal Employee Health Benefit (FEHB) program, state active employee programs,
and/or an exchange, this business should be considered commercial and included in the survey.
Responses to the survey will reflect dollars paid for medical, behavioral health, and pharmacy
benefits (to the extent possible) in CY 2018 or the most recent 12-month period for which data is
available. Spending for dental and vision services are excluded. See “General Information” tab in
the Excel workbook for more information.
Health plan enrollees or plan participants. See Frequently Asked Questions for more information.
A single payment to providers and/or health care facilities for all services related to a specific
condition (e.g. diabetes). The payment considers the quality, costs, and outcomes for a patientcentered course of care over a longer time period and across care settings. Providers assume
financial risk for the cost of services for a particular condition, as well as costs associated with
preventable complications. [APM Framework Category 4A]
A per member per month (PMPM) payment to providers for inpatient and outpatient care that a
patient population may receive for a particular condition in a given time period, such as a month or
year, including inpatient care and facility fees. See Frequently Asked Questions for more
information. [APM Framework Category 4A]
Calendar year 2018 or the most current 12-month period for which the health plan can report
payment information. This is the 12 month reporting period for which the health plan should report
all of its "actual" spend data - a retrospective "look back."
A clinical category risk adjustment system that uses information about patient diagnoses and
selected procedures to identify patients that are expected to have similar costs during a hospital
stay - a form of case rate for a hospitalization. Each DRG is assigned a weight that reflects the
relative cost of caring for patients in that category relative to other categories and is then multiplied
by a conversion factor to establish payment rates.
Providers receive a negotiated or payer-specified payment rate for every unit of service they deliver
without regard to quality, outcomes or efficiency. [APM Framework Category 1]

Includes but is not limited to payments to improve care delivery such as outreach and care
coordination/management; after-hour availability; patient communication enhancements; health IT
infrastructure use. May come in the form of care/case management fees, medical home payments,
infrastructure payments, meaningful use payments and/or per-episode fees for specialists. [APM
Framework Category 2A]
A fixed dollar payment to providers for all the care that a patient population may receive in a given
time period, such as a month or year, (e.g. inpatient, outpatient, specialists, out-of-network, etc.)
with payment adjustments based on measured performance and patient risk. [APM Framework
Category 4B]
Payments in which the delivery system is integrated with the finance system and delivers
comprehensive care. These integrated arrangements consist of either insurance companies that
own provider networks, or delivery systems that offer their own insurance products, or payer and
provider organizations that share a common governance structure, or payer and provider
organizations that are engaged in mutually exclusive relationships. See Frequently Asked Questions
for more information. [APM Framework Category 4C]
Payments that utilize traditional payments and are not adjusted to account for infrastructure
investments, provider reporting of quality data, or for provider performance on cost and quality
metrics. This can include fee-for-service, diagnosis-related groups (DRGs) and per diems. [APM
Framework Category 1].
Payments that are set or adjusted based on evidence that providers meet quality standards or
improve care or clinical services, including for providers who report quality data, or providers who
meet a threshold on cost and quality metrics. The APM Framework does not specify which quality
measures qualify for a payment method to be "linked to quality" in Category 2. In order to qualify
as a Category 3 or 4 APM, the link to quality must include “appropriate care measures.” See
definition of “appropriate care measures” for a description and examples.
For the purposes of this survey, the Medicaid market segment includes both business with a state
to provide health benefits to Medicaid eligible individuals and state-run programs themselves. Data
submitted for this survey should exclude the following: health care spending for dual-eligible
beneficiaries, health care spending for long-term care (LTC), spending for dental and vision services.
Responses to the survey will reflect dollars paid for medical, behavioral health, and pharmacy
benefits (to the extent possible) in CY 2018 or the most recent 12-month period for which data is
available. See “General Information” tab in the Excel workbook for more information.
For the purposes of this survey, the Medicare Advantage market segment includes a type of
Medicare health plan offered by a private company that contracts with Medicare to provide all Part
A and Part B benefits. Medicare Advantage Plans include Health Maintenance Organizations,
Preferred Provider Organizations, Private Fee-for-Service Plans, and Special Needs Plans. To the
extent the Medicare Advantage plan has Part D or drug spending under its operations, it should
include this information in its response. Responses to the survey will reflect dollars paid for
Medicare Advantage beneficiaries’ (including dual eligible beneficiaries) medical, behavioral health,
and pharmacy benefits (to the extent possible) in CY 2018 or the most recent 12-month period for
which data is available. Dental and vision services are excluded. See “General Information” tab in
the Excel workbook for more information.

The use of incentives (usually financial) to providers to achieve improved performance by increasing
the quality of care and/or reducing costs. Incentives are typically paid on top of a base payment,
such as fee-for-service or population-based payment. In some cases, if providers do not meet
quality of care targets, their base payment is adjusted downward the subsequent year. [APM
Framework Categories 2C].
A per member per month (PMPM) payment to providers for outpatient or professional services that
a patient population may receive in a given time period, such as a month or year, not including
inpatient care or facility fees. The services for which the payment provides coverage is predefined
and could cover primary, acute and post-acute care that is not specific to any particular condition.
[APM Framework Category 4B]
Setting a single price for all services to providers and/or health care facilities for all services related
to a specific procedure (e.g. hip replacement). The payment is designed to improve value and
outcomes by using quality metrics for provider accountability. Providers assume financial risk for
the cost of services for a particular procedure and related services, as well as costs associated with
preventable complications. [APM Framework Categories 3A & 3B].
For the purposes of this workbook, provider includes all providers for which there is health care
spending. For the purposes of reporting APMs, this includes medical, behavioral, pharmacy, and
DME spending to the greatest extent possible, and excludes dental and vision.
A payment arrangement that allows providers to share in a portion of any savings they generate as
compared to a set target for spending, but also puts them at financial risk for any overspending.
Shared risk provides both an upside and downside financial incentive for providers or provider
entities to reduce unnecessary spending for a defined population of patients or an episode of care,
and to meet quality targets.
The total estimated in- and out-of-network health care spend (e.g. annual payment amount) made
to providers in calendar year (CY) 2018 or most recent 12 months.
A payment arrangement that allows providers to share in a portion of any savings they generate as
compared to a pre-established set target for spending, as long as they meet quality targets.
Traditional shared savings provides an upside only financial incentive for providers or provider
entities to reduce unnecessary spending for a defined population of patients or an episode of care,
and to meet quality targets.
A payment arrangement that allows providers to share in a portion of any savings they generate
due to meeting quality and utilization targets that produce savings (e.g. Medicare CPC+ Track 1
program). There are no financial targets in these arrangements; instead there are utilization targets
that impact a significant portion of the total cost of care. Examples of utilization measures include,
but are not limited to: emergency department utilization, inpatient admissions, and readmissions.
Utilization-based shared savings provides an upside only financial incentive for providers or
provider entities to reduce unnecessary care or utilization for a defined population of patients or an
episode of care, and to meet quality targets.