Colorado Medicaid Accountable Care Effort Doubles Savings in One Year

Three years into an Accountable Care Collaborative (ACC) program, the Colorado Department of Health Care Policy and Financing achieved $44 million in gross savings or cost avoidance, officials report, more than double the amount of cost avoidance achieved by the program last fiscal year.

After accounting for payments to providers and regional care organizations, the program’s net savings for state fiscal year 2012 to 2013 was approximately $6 million.

The Accountable Care Collaborative (ACC) is Colorado Medicaid’s program to improve clients’ health and reduce costs. More than 352,000 clients are currently enrolled in the ACC. Medicaid clients in the ACC receive the regular Medicaid benefit package and belong to a Regional Care Collaborative Organization (RCCO).

The ACC program has seven geographical regions, each served by a specific RCCO, which provides care coordination, connect members to primary care (a medical home), specialists and community resources as needed.

The department brought the program to state lawmakers as a budget reduction item in 2009 with the expectation that the program would not only pay for itself, but reduce expenditures in the future. They established three initial key performance indicators to measure improvement among those clients enrolled in the ACC, compared to clients not yet enrolled. In FY 2012 to 2013, those results were as follows:

  • Hospital readmissions: 15 to 20 percent reduction;
  • High-cost imaging: 25 percent reduction;
  • ER utilization: 1.9 percent increase compared to a 2.8 percent increase for those not enrolled in the program.

The program will add an additional performance metric next year related to well child visits. For more information click here.

Source: Colorado Department of Health Care Policy and Financing, November 4, 2013

2013 Healthcare Benchmarks: Dual Eligibles Care Coordination examines emerging trends in duals care management, from the prevalence of existing programs to gains achieved in key quality metrics like patient satisfaction.

This entry was posted in Accountable Care Organizations, affordable care act, Medicaid and tagged , , . Bookmark the permalink.
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