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research technology consulting
Health Care IT Advisor
Ye Hoffman, MS, CPHIMS
Senior Analyst
November 29, 2016
2017 MACRA Final Rule
Detailed Analysis Your Guide to the Transition Year
6
2
3
4
1
Road Map
©2016 Advisory Board • All Rights Reserved • advisory.com
MACRA Essentials
Advanced Alternative Payment Models (Advanced APM)
Merit-Based Incentive Payment System (MIPS)
Your Guide to the Transition Year…and Beyond
7
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Advisory Board MACRA Webconferences
Overview and Detailed Analysis for All Members
MACRA: How the Final Rule Impacts
Providers
Available On Demand
• The basic framework CMS plans to use to
implement MACRA in 2017
• The most important changes in the final rule
• Next steps for provider organizations in
response to MACRA
2017 MACRA Final Rule Detailed Analysis:
Your Guide to the Transition Year
Today
• The details of 2017 MIPS/APM
requirements
• Action items on reporting and program
management
• Important areas for public comment
For More Advisory Board Resources on MACRA
https://www.advisory.com/macra
Source: Advisory Board research and analysis.
8
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MACRA Kicks Off in 2017, Affects 2019 Payments
Sources: CMS; Advisory Board research and analysis.
1) MIPS = Merit-Based Incentive Payment System.
2) APM = Alternative Payment Model.
3) CMS = Centers for Medicare & Medicaid Services.
Medicare Access and Children’s Health Insurance Program (CHIP)
Reauthorization Act of 2015 (MACRA) Implementation Timeline
October 14, 2016
CMS3 released final
rule with comment
period
April 27, 2016
CMS released proposed rule with
details for MIPS1 and APM2 tracks
and call for comments
January 2017
Performance period begins that
will determine applicable MIPS
or APM track; additional
performance periods offered
June 27, 2016
Comment period on proposed
rule closes
January 2019
First year of physician
payment adjustment
under MIPS or APM
April 16, 2015
MACRA signed into law
• Legislation passed in April 2015 that repealed the Sustainable Growth Rate (SGR)
• Locks Medicare Part B payment rates at near zero growth: 0.5% increase from
2015–2019, 0.0% increase from 2020–2025, 0.25% increase from 2026 and on for
MIPS participants
• Extra $500M for exceptional performers under MIPS; APM bonuses range from
$146M to $429M
MACRA in Brief
9
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
From Standalone Programs to an Integrated Initiative
Source: Advisory Board research and analysis.
1) Based on -2% PQRS, -4% VBPM, -3% MU.
MACRA Reduced Total Maximum
Penalties for Near-Term
-4%
Prior to MACRA, maximum penalty rate among
separate quality programs1
-9%
Under MACRA, 2019 maximum penalty rate
based on 2017 MIPS performance
MACRA Consolidates Previous Quality Reporting Programs
for Medicare Clinicians
2015 2024 2019
Physician Quality Reporting System
(PQRS)
MACRA:
MIPS/APM
Future Years 2011 2007
EHR Incentive Programs
(aka Meaningful Use)
Value-Based Payment Modifier
(VBPM)
MACRA Legislation Received
Strong Bipartisan Support
92-8 Senate vote in
favor of MACRA
House vote in
favor of MACRA 392-37
10
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MACRA Creates CMS Quality Payment Program
Advanced Alternative Payment
Models (Advanced APM)
Merit-Based Incentive
Payment System (MIPS)
Exempt from MIPS payment
adjustments
Financial incentives: 5% annual bonus
in 2019–2024, and 0.75% annual payment
increase from 2026 on
Payment adjustments reach
-9% / +27% by 2022
Performance based on 4 categories:
Quality, Cost,1 IA,2 and ACI3
MACRA Does Not Impact MU4 for
Hospitals, Medicaid EPs5
MU as defined by Modified Stage 2 and
Stage 3 regulation and subsequently
modified under the 2017 OPPS6 rule,
continues on for hospitals and Medicaid EPs
1) Previously referred to as the Resource Use category; 2) Previously referred to as the Clinical Practice Improvement Activities
category; 3) ACI = Advancing Care Information; 4) MU = Meaningful use; 5) EPs = Eligible professionals; 6) OPPS = Hospital
Outpatient Prospective Payment System.
CMS Quality Payment Program
Sources: CMS, “Medicare Program; Merit-Based Incentive Payment System (MIPS)
and Alternative Payment Model (APM) Incentive under the Physician Fee Schedule,
and Criteria for Physician-Focused Payment Models,” 81 FR 77008, November 4, 2016,
https://www.federalregister.gov/d/2016-25240; Advisory Board research and analysis.
Upcoming Webconference on
December 13, 2016 at 1pm ET
Register for our webconference on
“2016-2018 Meaningful Use Modifications:
Highlights from the Hospital Outpatient
Prospective Payment System Final Rule”
11
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
A Sweeping Impact Across Providers
Yet Awareness and Appreciation of MACRA’s Impact Is Low
Sources: CMS; Deloitte, 2016 US Survey of Physicians, available at
deloitte.com; Advisory Board research and analysis.
1) PAs = Physician assistants.
2) NPs = Nurse practitioners.
3) We note that additional provider types are included for APM track qualification: certified nurse-midwives, clinical social workers, clinical
psychologists, registered dietitians or nutrition professionals, physical or occupational therapists, qualified speech-language pathologists, and
qualified audiologists; and a group that includes these professionals.
Included
Medicare Part B payments
(i.e., clinician professional
payments)
Clinicians, groups that fall under
low volume threshold:
• $30,000 or less in Medicare
charges OR
• 100 or fewer Medicare patients
Providers in their first year
billing Medicare
Physicians, PAs,1 NPs,2
Clinical Nurse Specialists,
Certified Registered Nurse
Anesthetists3
Groups that include any of
the above clinicians
Excluded
Medicare Part A (i.e., inpatient,
outpatient technical hospital
payments)
Clinicians impacted by
MACRA per CMS estimate
712K Additional excluded
clinicians per Final Rule
124K Physicians surveyed
unaware of MACRA
50%
12
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Important Not to Crawl in MIPS
Aim To Run in MIPS; Non-Reporters Face Stiff Penalty
Sources: CMS; Advisory Board research and analysis.
1) Projections based on CMS’s estimates included in Table 64 of the MIPS/APM
proposed rule: MIPS Proposed Rule Estimated Impact On Total Allowed Charges By
Practice Size.
“Crawl” Option
“Walk” Option
“Run” Option
1 2 3
• Submit minimum data for
a single category
• Avoid a negative payment
adjustment
• Submit more than minimum
data for at least 90 days
• May qualify for nominal
positive payment adjustment
• Submit all required data for
at least 90 days
• May qualify for modest
positive payment adjustment
• “Pick your pace” reporting options in 2017
• Increased exclusion thresholds for “low-
volume” providers
• All clinicians should be well poised to
avoid downward payment adjustments
! 2019 MIPS Potential Penalties1
$116K Small Practice
(20 providers)
Large Practice
(100 providers)
Medium Practice
(50 providers) $240K
$321K
Requirements Eased in Final Rule,
But Only for Short Term
13
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Which Track Do I Qualify For?
Participate
in an
Advanced APM?
Meet
QP1
Threshold?
Meet
Partial QP
Threshold?
NO
YES
NO YES
APM
1
4
Must Know First Whether Payment Model Is an Advanced APM
Source: Advisory Board research and analysis.
1) QP = Qualifying participant.
MIPS Participate
in a
MIPS APM?
3
MIPS APM
Scoring
Standard
2
Exempt
from
MIPS
Optionally
Choose
MIPS?
YES
NO
NO
NO
YES
YES
14
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Your Guide to the Transition Year…and Beyond
Source: Advisory Board research and analysis.
ear up, get ready for MACRA “sea change”
nflect performance to improve MIPS standing
nderstand MACRA requirements
ngage with CMS to submit public comment
evelop your MACRA strategy
G
U
I
D
E
15
2
3
4
1
Road Map
©2016 Advisory Board • All Rights Reserved • advisory.com
MACRA Essentials
Advanced Alternative Payment Models (Advanced APM)
Merit-Based Incentive Payment System (MIPS)
Your Guide to the Transition Year…and Beyond
16
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
APM Payment Track Looks Enticing
Sources: CMS; Advisory Board research and analysis.
0%
1%
2%
3%
4%
5%
6%
2015 2020 2025
2015–2019
0.5% annual
update
2020–2025
Frozen
payment rates Alternative Payment Model
Track: 2026 and on 0.75%
annual update
The Merit-Based Incentive
System: 2026 and on 0.25%
annual update
Baseline Payment Adjustments Under Each Track
2019–2024
APM track participants
receive 5% annual bonus
Annual Bonus for APM
Participation
Bonus awarded each
year from 2019–2024
to clinicians who qualify
for the APM track
5%
17
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Two Requirements to Qualify for the APM Track
Must Be in an Advanced APM, and Be a Qualifying Participant
Source: Advisory Board research and analysis.
Participate
in an
Advanced APM?
Meet
QP
Threshold?
Meet
Partial QP
Threshold?
NO
YES
NO YES
APM
1
4 MIPS Participate
in a
MIPS APM?
3
MIPS APM
Scoring
Standard
2
Exempt
from
MIPS
Optionally
Choose
MIPS?
YES
NO
NO
NO
YES
YES
18
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Strict Advanced APM Eligibility Requirements
Sources: CMS, “Alternative Payment Models in the Quality Payment Program,”
https://qpp.cms.gov/docs/QPP_Advanced_APMs_in_2017.pdf, October 14, 2016;
Advisory Board research and analysis.
Advanced APM Criteria
Advanced APMs Confirmed for 2017
Meet revenue-based
standard (average of at least
8% of revenues at risk for
participating APMs) or
Meet benchmark-based
standard (maximum possible
loss must be at least 3% of
spending target)
Certified EHR use
Quality requirements
comparable to MIPS
1) ESRD = End-stage renal disease.
2) LDO = Large dialysis organization.
3) CPC+ = Comprehensive Primary Care Plus.
4) MSSP = Medicare Shared Savings Program.
5) ACO = Accountable care organization.
Fin
an
cia
l R
isk C
rite
ria
2017 Medicare
Advanced APMs
Comprehensive ESRD1 Care LDO2
Arrangement
Comprehensive ESRD Care non-LDO
Arrangement (two-sided risk)
CPC+3
MSSP4 Track 2 and Track 3
Next Generation ACO5
Oncology Care Model (OCM, two-sided risk
arrangement)
2017 Medicare Advanced APMs
19
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
More Opportunity to Participate in Advanced APMs
CMS to Expand List of Qualifying Programs in 2018 and Beyond
Sources: CMS; Advisory Board research and analysis.
1) CMMI = Center for Medicare and Medicaid Innovation.
2) BPCI = Bundled Payments for Care Improvement.
3) CJR = Comprehensive Care for Joint Replacement.
4) CEHRT = Certified electronic health record technology.
5) EPM = Episode Payment Model.
Anticipated Additions to Advanced APM List for 2018 Program Year
MSSP Track 1+
Two-sided risk track with less upside
reward but also less downside risk
than Track 2 and Track 3; expected
to begin in 2018
Voluntary Bundled Payment Model
CMMI1 considering a new
voluntary bundled payment model
for 2018; would build on BPCI2
CJR3 Payment Model (CEHRT4 Track)
Proposed rule allows for qualification as
an Advanced APM if participating
hospitals are using CEHRT
EPM5 Track 1 (CEHRT Track)
Proposed rule creates two tracks;
participants required to use CEHRT in
Track 1 of each EPM to qualify as
Advanced APM
Creation of Qualifying New Models Inclusion of Existing Models
Vermont Medicare ACO Initiative
CMS expects the Vermont Medicare ACO
program (part of Vermont’s new All-Payer
ACO Model) to be an Advanced APM
20
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
APM Entity Must Meet Qualifying Participant Status
1) TIN = Tax identification number.
Variation in Volume Can Make or Break APM Track Determination
Clinicians currently projected by CMS to qualify
for APM track in 2019 payment year 10%–16%
APM Entities Must Meet Percent of
Payments or Patient Counts
25% 25%
50% 50%
75% 75%
20% 20%
35% 35%
50% 50%
2019 2020 2021 2022 2023 2024+
Payments through Advanced APMs
Patients in Advanced APMs
May Include Non-Medicare
Advanced APM
APM Entity 2
Payments = 33%
Example of 2019 Payment Qualification
APM Entity 1
Payments = 21%
TIN1 1 = X%
TIN 2 = Y%
TIN 3 = Z%
Sources: CMS; Advisory Board research and analysis.
TIN 1 = X%
TIN 2 = Y%
TIN 3 = Z%
21
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Almost, But Not Quite Qualifying for the APM Track
Some Groups Fall Just Below the QP Threshold, Can Choose MIPS
Source: Advisory Board research and analysis.
Participate
in an
Advanced APM?
Meet
QP
Threshold?
Meet
Partial QP
Threshold?
NO
YES
NO YES
APM
1
4 MIPS Participate
in a
MIPS APM?
3
MIPS APM
Scoring
Standard
2
Exempt
from
MIPS
Optionally
Choose
MIPS?
YES
NO
NO
NO
YES
YES
22
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Lower Thresholds Set for Partial Qualifying Participants
Defining Partial QPs
• Clinicians who don’t meet QP thresholds but meet slightly lower thresholds
• Partial QPs do not qualify for APM track (5% participation bonus and 0.75% annual
update after 2026), but they do not have to participate in MIPS
• Partial QPs can choose whether to participate in MIPS track; if they decide against
MIPS, they will have no payment adjustment for that year
Minimum QP Threshold Minimum Partial QP Threshold
20%
40% 50%
25%
50%
75%
2019–2020 2021–2022 2023 and on
Payment, Patient Count Requirements for QPs, Partial QPs
Year
Pe
rce
nt o
f p
aym
en
t
un
de
r A
dva
nce
d A
PM
10%
25%
35% 20%
35%
50%
2019–2020 2021–2022 2023 and on
Year
Pe
rce
nt o
f p
atie
nt co
un
t
un
de
r A
dva
nce
d A
PM
Payment: Patient Count:
Sources: CMS; Advisory Board research and analysis.
23
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Rolling Schedule to Determine APM Track Status
Three 2017 Determination Periods
Sources: CMS; Advisory Board research and analysis.
1) Approximate date.
Determination
Period #1 • Designate whether QP or PQP
• Incorporate 60 days of claims
run-out in analysis
• Add QPs/PQPs; never reverse
previous designation
!
JAN 1 MAR 31 AUG 1
Determination
Period #2
JAN 1 JUN 30 NOV 1
Determination
Period #3
JAN 1 AUG 31 JAN 1, 2018
Participant List
Snapshot
Participant List
Snapshot
Participant List
Snapshot
Claims Data
Claims Data
Notice
Sent1
Notice
Sent1
Notice
Sent1
Track Assignment Notices
Claims Data
24
2
3
4
1
Road Map
©2016 Advisory Board • All Rights Reserved • advisory.com
MACRA Essentials
Advanced Alternative Payment Models (Advanced APM)
Merit-Based Incentive Payment System (MIPS)
Your Guide to the Transition Year…and Beyond
25
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Several Paths Toward MIPS
Majority Will Participate in MIPS; Some Receive Preferential Scoring
Source: Advisory Board research and analysis.
Participate
in an
Advanced APM?
Meet
QP
Threshold?
Meet
Partial QP
Threshold?
NO
YES
NO YES
APM
1
4 MIPS Participate
in a
MIPS APM?
3
MIPS APM
Scoring
Standard
2
Exempt
from
MIPS
Optionally
Choose
MIPS?
YES
NO
NO
NO
YES
YES
26
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
2017 MIPS Performance Categories Executive Summary
Category Key Components Scoring & Weight1
• Over 200 measures to choose from, 80% of which are tailored
to specialists
• Providers required to report six measures, including one
outcome measure; in addition, all-cause readmissions will be
calculated based on claims for certain providers
Based on peer
benchmarks
• Not a component of MIPS performance in program year 2017
• CMS will include this category beginning 2018
• Over 90 activities to choose from; offers flexibility for many
provider types
• Preferential scoring for small practices, MIPS APM participants,
and PCMH2
Based on EC’s own
performance
• Applies to additional clinicians,3 unlike previous Medicare
Eligible Professional MU requirements (which applied only to
physicians)
• No longer requires “all-or-nothing” measure threshold reporting;
clinicians scored on participation and performance
Based on EC’s own
performance
1) Different weights apply to MIPS APM scoring standard.
2) PCMH = Patient-Centered Medical Homes.
3) MIPS eligible clinicians include physicians, physician assistants, nurse practitioners, clinical nurse specialists, certified registered nurse anesthetists, and groups that
include such clinicians. In 2017, Advancing Care Information (ACI) category may be reweighted to zero for non-physician clinicians.
Sources: CMS; Advisory Board research and analysis.
Quality
(Previously
PQRS)
Cost
(Previously VBPM
cost component)
Improvement
Activities
(New category)
Advancing Care
Information
(Previously MU)
Clinicians currently projected by CMS subject
to the MIPS track for the 2019 payment year 621K
60%
25%
15%
0%
27
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
“Crawl, Walk, or Run” Approach to MIPS in 2017
Reporting Requirements and Financial Implications
Sources: CMS; CMS, “Quality Payment Program Overview,” https://www.cms.gov/Medicare/Quality-Initiatives-
Patient-Assessment-Instruments/Value-Based-Programs/MACRA-MIPS-and-APMs/MACRA-Quality-Payment-
Program-webinar-slides-10-26-16.pdf; Advisory Board research and analysis.
1) Additional pool of $500M available for exceptional performers that have a Composite
Performance Score (CPS) of 70 or higher in 2017.
Pick Your
Pace
Options
Reporting
Period
Performance
Category
Minimum Reporting
Requirements
Financial
Implications in
2019
“Crawl” • No required
reporting period
• Less than 90 days
permitted
Any:
• Quality, or
• IA, or
• ACI
Any:
• One Quality measure
• One IA
• “Base” ACI measures
• Avoid penalty
“Walk” • Minimum 90
continuous days
Any:
• Quality, or
• IA, or
• ACI
Any:
• ≥ 2 Quality measures
• ≥ 2 IAs
• “Base” and ≥ 1 “performance”
ACI measure(s)
• Avoid penalty
• Possible nominal
incentives
“Run” • Minimum 90
continuous days
• A full year is NOT
required
All Three
Categories:
• Quality, and
• IA, and
• ACI
Achieve Highest Points
Possible:
• 6 Quality measures,
• IAs sufficient for full credit
• “Base” and “performance” ACI
measures for full credit
• Avoid penalty
• Possible modest
incentives
• Possible exceptional
performance1
incentives
“A full year gives you the most measures to pick from. But if you report for 90 days,
you could still earn the max adjustment.” CMS
28
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
ABCs of Submission Mechanisms in MIPS
Sources: CMS; Advisory Board research and analysis. ;
1) CAHPS = Consumer Assessment of Health Providers and Systems.
CMS Web Interface
Group practice reporting option via
CMS’ QualityNet web site
For more: see QualityNet
EHR
Office of the National Coordinator-
certified EHR submits data
directly to CMS
For more: certified EHRs available
Attestation or
Claims
Attestation: TBD; CMS may utilize
existing MU attestation portal
Claims: Coded data inputted
through claims
CAHPS1 Vendor
CMS-certified vendor used for
combined CAHPS and
MIPS reporting
For more: see currently approved
vendors
Qualified Clinical Data
Registry (QCDR)
Meets specific CMS qualifications
but scope of registry is not limited to
MIPS measures
For more: MIPS QCDR Self-
Nomination Fact Sheet
Qualified Registry
Meets specific CMS qualifications
and scope of registry is limited to
MIPS measures
For more: MIPS Qualified Registry
Self-Nomination Fact Sheet
29
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MIPS Reporting Alignment Options
Vendor Capability Crucial to Alignment Opportunity
Sources: CMS; Advisory Board research and analysis.
Note: the dark box denotes submission methods that allow reporting alignment opportunity.
1) Available for groups of 25 or more only.
2) Available for individual reporting only.
3) For groups only; must be a CMS-approved survey vendor for MIPS.
Submission
Methods
Qualified
Registry QCDR EHR
CMS Web
Interface1 Attestation Claims2 CAHPS
Vendor3
Quality
Improvement
Activities
ACI
MIPS Data Submission Mechanisms: Report Individually or as a Group
• Capability to report
measures for all MIPS
performance categories
• Ongoing compliance with
CMS vendor audits
• Record data in CEHRT
• Export and transmit data
electronically
• Option to use third-party
intermediary with automated
software
Vendor
Readiness End-to-End
Electronic
Reporting
Reporting Alignment Quality Bonus Points
30
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
REPORTING MECHANISM BENEFITS DRAWBACKS
Qualified
Registry
• Can consolidate data from different
sources
• May assist with performance monitoring
and practice improvement
• Subject to annual review and approval
• Measures limited to MIPS measures,
and what vendor can report
QCDR
• Same as Qualified Registry (see above)
• Non-MIPS Quality measures available;
may benefit specialists
• May earn IA credit for certain activities
• Subject to annual review and approval
• Measures may be limited in scope
EHR
• Ability to monitor and report eCQMs1
• May include analytics to track
performance across MIPS categories
• Quality measures must be certified by
vendor
• Must ensure compliance with the
required annual electronic specification
version
CMS Web
Interface
• Same measures required for MSSP and
Next Generation ACO; can serve as on-
ramp into the APM track
• Report only Medicare Quality data
• Groups measured against MSSP and
Next Generation ACO participants
• Must report all required Quality
measures for a full year
Pros and Cons of Reporting Mechanisms
Focus on Four Aligned Mechanisms
Source: Advisory Board research and analysis.
Access the Meaningful Use Registry List (MURL), a catalog of specialty society
clinical data registries; available on advisory.com (November 2015)
Related Tool
1) eCQMs = Electronic Clinical Quality Measures.
31
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Key Considerations Individual (TIN/NPI1) Reporting Consider this option if your group:
Group (TIN) Reporting Consider this option if your group:
Performance
across categories
Includes a mix of providers, with
some that would otherwise be excluded
from MIPS,2 or are eligible for certain
categories to be reweighted to zero3
Includes a majority of high
performers that can boost a few
low performers
Administrative
complexity
Can support the administrative
resources to monitor and report
performance individually (e.g., specific
quality measures for each EC)
Supports a large number of ECs
and/or aims to reduce
administrative complexity (e.g.,
reduce reporting burden, and
receive the same score for all ECs)
Technical capability
Deploys a heterogeneous IT
environment (e.g., multiple practice
locations with different EHRs)
Deploys a homogenous IT
environment (e.g., a system-wide
EHR with high adoption rates
across all ECs)
Experience with
CMS programs
Used individual reporting to submit
quality measures for PQRS (e.g.,
through claims)
Used group reporting to submit
quality measures for PQRS
MIPS Individual v. Group (or Both?) Reporting Choices
Sources: CMS; Advisory Board research and analysis.
1) NPI = National Provider Identifier.
2) For example, low-patient volume, new Medicare-enrolled providers, APM track participants are excluded from MIPS payment adjustments.
3) For example, the ACI category may be reweighted to zero for hospitalists, non-patient facing ECs, and advanced practitioners.
Decision Must Be Applied Across All MIPS Categories Reported
32
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
“Special” MIPS APM1 Scoring in MIPS
Sources: CMS; Advisory Board research and analysis.
Different Category Weights for ECs Without QP Status or in MIPS APMs
2017 Medicare
Advanced APMs
2017
MIPS APMs
Comprehensive ESRD1
Care LDO Arrangement
Comprehensive ESRD
Care non-LDO
Arrangements (one-
sided risk)
Comprehensive ESRD
Care non-LDO
Arrangement (two-
sided risk)
MSSP Track 1
CPC+ OCM (one-sided risk
arrangement)
MSSP Tracks 2 and 3
Next Generation ACO
OCM (two-sided risk
arrangement)
1) CMS defines a MIPS APM as an APM that meets the following criteria: (1) APM Entities
participate in the APM under an agreement with CMS or by law or regulation; (2) the APM
requires that APM Entities include at least one MIPS eligible clinician on a Participation List; and
(3) the APM bases payment incentives on performance (either at the APM Entity or eligible
clinician level) on cost/utilization and quality measures.
2) Participant list snapshots taken on March 31, June 30, August 31, 2017. Each snapshot adds
participants, never reverses previous designation.
Below QP Volume
Threshold in Advanced
APM
Any Volume
in MIPS APM
Applies2 to Two MIPS EC Scenarios Comparison Between MIPS and MIPS
APM Category Weights in 2017
25% 30% 30%
75% 15%
20% 20%
25%
60% 50% 50%
MIPS MSSP Next Gen Other APMs
Quality
Cost
Improvement Activities (IAs)
Advancing Care Information (ACI)
MIPS APM Scoring Standard
33
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MIPS Payment Adjustments: 3 Is the “Magic Number”
Sources: CMS; Advisory Board research and analysis.
1) Payment adjustment size corresponds with how far the score deviates from the PT.
2) Additional pool of $500M available for exceptional performers to receive additional
incentive of up to 10% for MIPS-eligible providers that exceed the 25th percentile above
the PT.
-10%
0%
10%
20%
30%
Maximum EC Penalties and Bonuses
2019 2020 2021 2022+
4%
-4%
5%
-5%
7%
-7%
9%
-9%
12%
15%
21%
27%
Budget
neutrality
adjustment:
Scaling factor
up to 3x may
be applied to
upward
adjustment to
ensure payout
pool equals
penalty pool Pa
ym
en
t a
dju
stm
en
t
Payment Adjustment Determination
1
2
3
Dashed light gray line
reflects up to 10%
additional incentive2 for
exceptional performers
ECs assigned score of
0–100 based on performance
across three categories
Score compared to CMS-set
performance threshold (PT);
non-reporting groups given
lowest score
A score above PT results in
upward payment adjustment; a
score below PT results in a
downward adjustment1
Year
Strong Performers Benefit at Expense of Non-Reporters
Non-reporting
participants given
lowest score
2019 PT Established per Final Rule
CMS set the PT to 3 to avoid a negative payment
adjustment, and 70 to earn exceptional
performance bonus.
!
22%
25%
31%
37%
40%
34
2
3
4
1
Road Map
©2016 Advisory Board • All Rights Reserved • advisory.com
MACRA Essentials
Advanced Alternative Payment Models (Advanced APM)
Merit-Based Incentive Payment System (MIPS)
Your Guide to the Transition Year…and Beyond
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Your Guide to the Transition Year…and Beyond
Source: Advisory Board research and analysis.
ear up, get ready for MACRA “sea change”
nflect performance to improve MIPS standing
nderstand MACRA requirements
ngage with CMS to submit public comment
evelop your MACRA strategy
G
U
I
D
E
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MACRA Part of Public Payer “Sea Change”
1) Gear up, get ready for MACRA “sea change”
Source: Advisory Board research and analysis.
Chosen Method: Medicare-
Led Payment Reform
• FFS1 cuts
• New payment models
• Intent to catalyze broader
commercial market change
1 2 3
Chosen Method: Incentives and
Transparency
• IT mandates
• Pay-for-performance programs
• Market-facing transparency
Chosen Method: Expansion
of Existing System
• Insurance market regulation
• Expanded public coverage
• Market-based exchanges
Replace Costly Fee-for-
Service Incentive Structures
Improve Health
Care Quality
Achieve Universal,
Affordable Coverage
Medicare Access and CHIP Reauthorization Act of 2015 (MACRA)
Major Health Care Reform Goals
1) FFS = Fee for service.
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Public Payer Data Important to Private Payers
No Provider Can Ignore Quality Reporting
1) Gear up, get ready for MACRA “sea change”
Sources: Blue Cross Blue Shield of Illinois; Advisory Board research and analysis.
1) NCQA = National Committee for Quality Assurance.
What I See on My Provider’s Profile Today
Currently shows awards and recognitions in CMS
and other quality reporting programs. In this real-
world example: NCQA1; Bridges to Excellence;
CMS EHR Incentive Programs.
Implications for Providers
• Commercial payers use publically reported
data to help inform plan participants’ about
provider performance
• Information may influence consumer choice
• Publically reported performance data may also
be used to set provider rates and/or whether
they are considered a preferred provider
• APM and MIPS performance indicators will be
published on Physician Compare, and may be
used by commercial payers in the future
!
38
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Quality Reporting Resources to Support You
Webconferences Tools Research
• MACRA: How the Final Rule
Impacts Providers
• 2017 MACRA Final Rule
Detailed Analysis: Your Guide
to the Transition Year
• 2016-2018 Meaningful Use
Modifications, scheduled
December 13 at 1:00pm
Eastern
• The Implications for Health
Care IT Vendors, scheduled
December 15 at 3:00pm
Eastern
• The No-Regrets Approach to
MACRA: How to Prepare
During Rulemaking
• 2017 Merit-Based Incentive
Payment System Measures
• Your questions about the
MACRA proposed rule–
answered
• Health Care IT Advisor
MACRA Cheat Sheet
• MACRA Cheat Sheet for
Industry
• Build Efficient Quality
Reporting with Streamlined
Quality and IT Efforts
• 5 Steps to Succeed in the
MIPS Quality Category
• Meaningful Use gets a facelift
under MACRA—but is it
better? Here's our view
• 2016 Eligible Professional
Quality Reporting: CMS
Offers More Flexible
Reporting Options, But It’s
Time to Align
Source: Advisory Board research and analysis.
2) Understand MACRA requirements
For These and Forthcoming Resources on MACRA https://www.advisory.com/macra
39
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Detailed Resources Available in Appendix
Included in Today’s Presentation Slides
2) Understand MACRA requirements
Acronym List
Pocket Guides for MIPS
ACI Measures
APM QP Calculation
Information
MIPS Performance
Category Guides
MIPS Reporting for MSSP
and Next Generation ACOs
Presentation Slides Available at:
https://www.advisory.com/Research/Health-Care-IT-
Advisor/Events/Webconferences/2016/2017-MACRA-Final-
Rule-Detailed-Analysis
40
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Aim for Highest Possible Performance
Most Categories Derive from an Existing CMS Program
3) Inflect performance to improve MIPS standing
Source: Advisory Board research and analysis.
1) QRUR = Quality and Resource Use Reports.
Review 2017 Finalized MIPS Measures
See Health Care IT Advisor tool, “2017 MIPS Measures” (November 2016)
Quality
Gauge performance on
PQRS measures, and
consider new MIPS
measures
Cost
Evaluate episode cost
measures on QRUR1 per
VBPM requirements
ACI
Review MU dashboards
and analyze
performance under new
scoring methodology
IA
Assess CMS inventory
to determine which
improvement activities
are currently performed
1 2 3 4
41
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MACRA Is a Team Sport
It Takes a Village to Drive MACRA Success
4) Develop your MACRA strategy
Source: Advisory Board research and analysis.
Key Players in MACRA Governance Structure
Finance and Health Information
Management
• Understand and forecast MACRA
reimbursement implications
• Optimize coding practices to support
accurate risk adjustment
Policy Experts
• Monitor regulatory changes and
determine strategic and operational
implications
• Educate leadership and front-line
staff on relevant policies
Clinical and Operational Leaders
• Provide input to measure selection
and clinical workflows
• Communicate performance to all
relevant stakeholders
• Develop strategies to improve
performance and drive staff adoption
IT Department
• Implement and configure IT systems
to optimize data collection
• Support data extraction, mapping,
consolidation, and reporting
• Provide technical guidance on
performance reports
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Which Pace Do You Pick?
Plan Your Approach Based on Experience with Existing CMS Programs
4) Develop your MACRA strategy
Source: Advisory Board research and analysis.
1) For example, Qualified Registry or QCDR.
2) Additional pool of $500M available for exceptional performers that
achieve a MIPS Composite Performance Score that exceeds 70 for
the 2017 performance period.
Avoid negative payment
adjustment
• IA. At minimum, report at least
one activity
• Quality. Report at least one
measure, if possible
• ACI. Report ACI minimum
requirements, if technically
feasible
Neither PQRS nor MU Either PQRS or MU Both PQRS and MU
Potentially earn small
positive adjustment
Aim for exceptional
performance2
• IA. Achieve full performance
• Quality. Engage EHR vendor
or registry1 to report, if
feasible, and maximize
performance and bonus points
• ACI. Report minimum ACI
requirements, if feasible, and
maximize performance and
bonus points
• IA. Achieve full performance,
and prioritize reporting
activities that use CEHRT
• Quality. Maximize
performance and bonus points
• ACI. Maximize performance
and bonus points
Report at least 90 days, aim for full year
43
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
Make Your Voice Heard
Set Aside Resources to Review and Comment on Annual Changes
5) Engage with CMS to submit public comment
Source: Advisory Board research and analysis.
• Eligible clinician definition. CMS may expand
ECs to include additional types of providers (e.g.,
physical therapists) in year 3 and beyond
• APM track. Non-Medicare APMs’ contribution
toward QP determinations in year 3 and beyond
• Virtual groups. CMS has yet to establish virtual
groups to assist solo and small practices in MIPS
• Facility-based clinicians. Policies to apply a
facility’s performance to a MIPS clinician have yet
to be determined
• MIPS APM scoring. CMS has yet to determine
Quality scoring methodology for non-MSSP,
non-Next Generation ACO payment models
• MIPS Quality category. Maximum score for
topped-out measures may be limited in future
years
• MIPS Cost category. CMS will include new
episode-based measures and potentially Part D
drug costs
!
Key Considerations for Public Comment
November
CMS publishes annual
MIPS/APM Final Rule
January
Performance period starts
2 months after
requirements are finalized
DEC 19
Public comment closes on
December 19, 2016 for the
MIPS/APM final rule with
comment period
Annual MIPS/APM Rulemaking
Expected
44
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
44
Key Takeaways from the 2017 MIPS/APM Final Rule
MACRA Has
Significant Impact
The law fundamentally
changes how Medicare pays
physicians and other
clinicians
Most Providers
Avoid Penalty in 2017
Aim to hit the ground running
in 2017 to get a head start
and avoid penalties in future
years
Plan for Future
Rulemaking and Audits
Providers should submit
annual public comment to help
shape the future of the
program and prepare for audits
Source: Advisory Board research and analysis.
MACRA Is the “New Normal”
Forthcoming Audit Checklist in 2017
Clinicians must retain documentation to support both APM and MIPS. For
example, CMS recommends clinicians retain records for 10 years, and audits
may occur for 6 years 3 months, or anytime thereafter if fraud is suspected.
!
1) MIPS-eligible clinicians and groups should retain copies of medical records, charts, reports, and
any electronic data utilized to determine which measures and activities.
45
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
The Advisory Board’s Suite of MACRA Solutions
Targeted Offerings to Meet Your Organization’s Needs
Organizations that need
foundational understanding of
MACRA across key stakeholder
groups
Organizations that need to assess
readiness and confirm strategic
planning approach
Organizations that need
ongoing strategic guidance
and long-term program
management support
Additional Custom Strategic Support Available
Recommended For:
• Hands-on support to help organizations design and implement large-scale business transformation needed for
health care reform
• Areas of expertise include value-based payment models, physician alignment, and EHR optimization
Research Memberships MACRA Intensive Quality Reporting Roundtable
• Publications, web
conferences, and blog posts
that cover the key
requirements of MACRA and
implications for providers
• On-site policy briefing
available for key stakeholders
• On-site session designed to
identify readiness gaps and
develop implementation strategy
• Three parts: policy education;
performance assessment; and
strategic discussion with
leadership
• Service to help providers
navigate quality reporting
programs requirements,
including MACRA and
Meaningful Use
• On-call experts, policy
monitoring, audit support,
best practices, and
networking opportunities
Quality Reporting
Roundtable
1 4 3
Experts
On-Call
Audit
Support
Successful
Practices
2
Alerts &
Monitoring
5
Networking
6
Strategic
Alignment
MIPS, APM, Meaningful Use, Physician Quality Reporting System (PQRS),
Value-Based Payment Modifier (VBPM), Inpatient Quality Reporting Program (IQR)
Areas of Expertise:
7
Scorecard
Option
49
Appendix 2017 MACRA Final Rule Detailed Analysis
50
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
50
Commonly Used Acronyms
Source: Advisory Board research and analysis.
• MACRA: Medicare Access and Children’s
Health Insurance Program (CHIP)
Reauthorization Act of 2015
• MU: Meaningful Use
• MIPS: Merit-Based Incentive Payment System
• MIPS APM: Special kinds of APMs that qualify
for preferential MIPS scoring
• OPPS: Outpatient Prospective Payment
System Rule
• PQP: Partial Qualifying APM Participant
• PQRS: Physician Quality Reporting System
• QP: Qualifying APM Participant
• VBPM: Value-Based Payment Modifier
• ACI: Advancing Care Information
• APM: Alternative Payment Model
• Advanced APM: APM potentially eligible for
APM track incentives
• APM Entity: Group that participates in an
APM
• CMS: Centers for Medicare & Medicaid
Services
• EC: Eligible clinician, a provider subject to
MACRA
• IA: Improvement Activities, previously Clinical
Practice Improvement Activities (CPIA)
• IPPS: Inpatient Prospective Payment System
Rule
51
©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
The Math Behind APM Track QP Thresholds
1) Medicare Part B-covered professional services; 2) During the performance period; 3) Evaluation and management;
4) CMS will modify this criterion for APMs that do not base attribution on E&M services through further rulemaking or other notification
processes.
Payment threshold
25%
Numerator
Denominator
All payments for services1
furnished by ECs in the APM Entity
to attributed beneficiaries2
All payments for services1 furnished
by ECs in the APM Entity to
attribution-eligible beneficiaries2
Patient count threshold
20%
Numerator
Denominator
Unique number of attributed
beneficiaries to whom ECs in the
APM Entity furnish services1,2
Number of attribution-eligible
beneficiaries to whom ECs in the
APM Entity furnish services1,2
Not enrolled in Medicare
Advantage or Medicare
Cost Plan
Medicare not a
second payer
Medicare Parts A and B
enrollment
At least 18 years old
US Resident
At least 1 E&M3 claim
within the APM entity4
Attribution-Eligible Beneficiary Criteria
1 2 3
4 5 6
Sources: CMS; Advisory Board research and analysis.
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MIPS Quality Performance Category
Dominant Component in MIPS Score; Significant Flexibility in Measures
Sources: CMS; Advisory Board interviews and analysis.
Scoring Takeaways
• In general, each measure is worth a maximum
of 10 points
• Performance points assigned for a measure based on
performance against peer benchmark
• In 2017, CMS will reward 3 points for any reported
measure, regardless of whether it meets data
completeness, is below case minimum threshold,5 has a
benchmark, has 0% performance, or includes data for less
than 90 days
• Scoring policies and number of CMS Web Interface
measures required differ from other reporting mechanisms
6 Measures 1 Population-Based
Measure4
10 Pts
Outcome
Measure2
10 Pts 10 Pts 10 Pts 3 Pts 10 Pts 10 Pts Category in Brief: Quality
How Scoring Works
All-Cause Readmission
Class 2
Measure3
1) Different data completeness requirements apply to Claims-based and Web Interface reporting.
2) At least one outcome measure is required, or another high priority measure if outcome
measures are not applicable.
3) Defined as measures that do not have an established benchmark and therefore cannot be scored
based on performance. Automatically assigned 3 points regardless of performance.
4) Based on administrative claims, no reporting required.
5) General case requirement is 20 cases. Case requirement for All-Cause Readmissions is 200 cases.
• Nearly 300 measures to choose from,
80% tailored to specialists
• Most ECs required to report six
measures, if applicable
• If reporting as a group of ≥16 ECs, the
All-Cause Readmissions population-
based measure applies based on claims
data
• 50% all-payer data completeness
requirement for 2017, rises to 60% for
nearly all reporting mechanisms1
• No longer requires a cross-cutting
measure
• Two ways to earn bonus points:
additional high-priority measures, and
end-to-end electronic reporting
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MIPS Cost Performance Category
New Cost Measures; Performance Assessment Based on Claims
Sources: CMS; Advisory Board interviews and analysis.
Scoring Takeaways
• Measures are equally weighted for a maximum of 10
points each
• A measure is included in the scoring only if minimum
case requirement is met, so the total possible points
can vary between ECs
• Points assigned for a measure based on
performance against peer benchmark
• 2017 cost performance will be provided to ECs for
informational purposes
Category in Brief: Cost
MSPB Up to 10 Episode-based measures
10 Pts N/A 10 Pts 10 Pts 10 Pts N/A
Below Case
Threshold No Attributed
Cases
Total per Capita
How Scoring Works
1) Cost category will be included beginning 2018, but continues to be weighted 0% for
MIPS APM scoring.
2) MSPB = Medicare spending per beneficiary.
• Not included in 2017 MIPS
final score1
• Assesses cost based on:
– Total cost per capita
– MSPB2
– Episode-based measures, as
applicable
• CMS will use data submitted
through administrative claims
to determine performance; no
additional reporting required
• Minimum of 20 cases required
for Total Cost and Episode-
based measures; 35 for MSPB
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MIPS Improvement Activities Performance Category
Several Paths to Full Credit; Differences in Weighting Provide Flexibility
Sources: CMS; Advisory Board interviews and analysis.
1) HPSA = Health Professional Shortage Areas.
2) For 2017, CMS afforded full credit for MIPS APM scoring based on assessment of activities required by each payment model,
see https://qpp.cms.gov/docs/QPP_APMs_and_Improvement_Activities.pdf.
Two Measure Types
H High-weighted activity: 20 points
Medium-weighted activity: 10 points
How Scoring Works
Achieve 40 points in 2017 for full credit
• Any combination of high-weighted or medium-
weighted activities
• Small, rural, HPSA1 practices, and non-patient-
facing ECs earn double points per activity
• PCMH earns full credit; MIPS APM earns at least
half credit2
IMPORTANT: Retain Support Documentation
Sample of High-Weight Activities
• Use of a QCDR to generate regular
performance feedback summarizing local
practice patterns, outcomes
• 24/7 access to MIPS eligible clinicians
• Participation in the CMS Transforming
Clinical Practice Initiative (TCPI)
We recommend that medical groups retain documentation supporting that
the IA was performed for at least 90 days during the performance period
M
Example Reported Activities Points
Earned
1 40
2 40
3 40
H H
M M H
M M M M
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
MIPS ACI Performance Category
New Name for MU; Rewards Participation and Performance
Sources: CMS; Advisory Board interviews and analysis.
1) Hospital-based clinicians, non-patient facing clinicians, advanced practitioners, and clinicians that qualify for significant hardship.
2) To earn the Base Score, report “Yes” for Security Risk Analysis, and at least 1 in the numerator for all other required measures.
3) Request/access summary of care is required under Stage 3-equivalent option. This measure is not included for Modified Stage 2-equivalent option.
4) Score based on each measure’s performance rate.
Scoring Components
How Scoring Works: Two Paths to 100 in 2017
Category in Brief: ACI
• Abandons “all-or-nothing”
approach to Meaningful
Use thresholds; offers
measure selection
flexibility
• In 2017 only, option to
report Modified Stage 2-
equivalent ACI measures
with 2014 Edition CEHRT
• Starting 2018, all ECs
must report Stage 3-
equivalent ACI measures
with 2015 Edition CEHRT
• Category may be
reweighted to zero for
certain types of providers1
Performance Score
50 Pts
Possible Points
Base Score
Stage 3-equivalent
• Security risk analysis
• Electronic prescribing
• Provide patient access
• Send a summary of care
• Stage 3-equivalent:
Request/access summary
of care3
10
= 155 Pts
• Stage 3-equivalent:
9 available measures
• Modified Stage 2-equivalent:
7 available measures
Base Score2 Performance Score4
• 10 points for using CEHRT in IA
• 5 points for public health reporting
beyond Immunization Registry
10 10 10 10 10 10 10 10
Modified Stage 2-equivalent
10 10 10 10 10 20 20
Bonus Score
10 5
Bonus Score
- OR -
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
ACI Pocket Guide: Modified Stage 2 MU in 2017 Only
Sources: CMS; Advisory Board research and analysis. Pocket Guide
dated November 29, 2016.
Security Risk
Analysis
Electronic
Prescribing
Provide
Patient
Access1
Health
Information
Exchange
Up to 20% Up to 20%
Note: The red box indicates measures required for the base score (50%). A dark grey box indicates a measure that contributes
toward the performance score.
1) All three functionalities (view, download, and transmit - VDT) must be present and accessible to meet the measure.
2) Providers can earn a 5% bonus if they report any of these public health measures.
3) Providers can earn a 10% bonus in the MIPS ACI category if they report that they use CEHRT to carry out any activity in the
MIPS Improvement Activities category.
Patient-Specific
Education
Secure
Messaging
View, Download,
or Transmit
Medication
Reconciliation
Up to 10% Up to 10% Up to 10% Up to 10%
0% or 10%
Immunization
Registry
5% Bonus2
10% Bonus3
Report
Improvement
Activities Using
CEHRT
Syndromic
Surveillance
Specialized
Registry
Required
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
ACI Pocket Guide: Correlates to Stage 3 MU
Sources: CMS; Advisory Board research and analysis. Pocket Guide
dated November 29, 2016.
Security Risk
Analysis
Electronic
Prescribing
Provide
Patient
Access1
Send a
Summary of
Care
Request/Accept
Summary of
Care
Up to 10% Up to 10% Up to 10%
Note: The red box indicates measures required for the base score (50%). A dark grey box indicates a measure that contributes
toward the performance score.
1) All three functionalities (view, download, and transmit - VDT) and an API must be present and accessible to meet the measure.
2) Providers can earn a 5% bonus if they report any of these public health measures.
3) Providers can earn a 10% bonus in the MIPS ACI category if they report that they use CEHRT to carry out any activity in the
MIPS Improvement Activities category.
View,
Download, or
Transmit
Secure
Messaging
Patient-
Generated
Health Data
Patient-
Specific
Education
Clinical
Information
Reconciliation
Up to 10% Up to 10% Up to 10% Up to 10% Up to 10%
0% or 10%
Immunization
Registry
5% Bonus2
10% Bonus3
Report
Improvement
Activities Using
CEHRT
Syndromic
Surveillance
Electronic Case
Reporting
Clinical Data
Registry
Required
Public Health
Registry
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
2017 MSSP ACO MIPS Reporting
MIPS Scored at APM Entity Level; Report ACI at the Group TIN Level
Sources: CMS; Advisory Board research and analysis.
1) Also applies to PQPs that choose to participate in MIPS.
2) Finalized 2017 CMS Web Interface measures includes a 2-component diabetes composite measure.
3) Scores for Improvement Activities in MIPS APMs in the 2017 Performance Period,
https://qpp.cms.gov/docs/QPP_APMs_and_Improvement_Activities.pdf.
4) MIPS APM participants receive at minimum one half of the total possible points.
• Reporting aligned with
ACO requirements; no
separate reporting
required for MIPS
• Measures submitted
through CMS Web
Interface by ACO on behalf
of MIPS ECs
• CMS Web Interface
reporting contains 14
measures2
Quality
• No additional MIPS
reporting required in 2017
• CMS afforded full category
score3 based on ACO-
required activities
• In future years, additional
reporting may be required
by the ACO if the CMS-
assigned points do not
yield the full category
score4
Improvement Activities
• Additional MIPS reporting
required for this category
independent of the ACO
• Report data through
respective ACO
participant billing TINs
• Scores from all ACO
participant TINs are
aggregated to yield a
weighted average APM
Entity group score
ACI
Applies to All MSSP Track 1 ACOs, and Tracks 2 and 3 ACOs Below QP1 Volume Threshold
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©2016 Advisory Board • All Rights Reserved • advisory.com • 34064
2017 Next Generation ACO MIPS Reporting
MIPS Scored at APM Entity Level; Report ACI at Individual or Group Level
Sources: CMS; Advisory Board research and analysis.
1) Also applies to PQPs that choose to participate in MIPS.
2) Finalized 2017 CMS Web Interface measures includes a 2-component diabetes composite measure.
3) Scores for Improvement Activities in MIPS APMs in the 2017 Performance Period,
https://qpp.cms.gov/docs/QPP_APMs_and_Improvement_Activities.pdf.
4) MIPS APM participants receive at minimum one half of the total possible points.
5) The score will be the highest attributable score, which may be derived from either group or individual reporting.
Applies to Next Generation ACO Entities Below QP1 Volume Threshold
• Reporting aligned with
ACO requirements; no
separate reporting
required for MIPS
• Measures submitted
through CMS Web
Interface by ACO on behalf
of MIPS ECs
• CMS Web Interface
reporting contains 14
measures2
Quality
• No additional MIPS
reporting required in 2017
• CMS afforded full category
score3 based on ACO-
required activities
• In future years, additional
reporting may be required
by the ACO if the CMS-
assigned points do not
yield the full category
score4
Improvement Activities
• Additional MIPS reporting
required for this category
independent of the ACO
• ECs can report individual
level (NPI/TIN) or group
level (TIN) data
• CMS will attribute one
score4 to each MIPS EC,
and scores for all MIPS
ECs in the APM Entity
group are averaged to
yield a single APM Entity
group score
ACI
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