Join Caravan Health for a webinar about the new Community Health Access and Rural Transformation (CHART) model on Friday, October 23 at 12 noon ET/9 AM PT. CMS recently announced this new initiative to encourage rural participation in value-based payment. Caravan President and CEO, Tim Gronniger, will be joined by Mara McDermott, Vice President at McDermott Plus Consulting and Louise Yinug, Caravan Senior Policy Analyst, to review the program details, application timelines, and options for participation.
Rural providers have been struggling even before the COVID-19 public health emergency. More than 100 rural hospitals have closed over the last ten years and many more are at risk. Rural hospitals need predictable streams of revenue and funding to develop infrastructure, including technology infrastructure, that can take them into the future. The new CHART model is designed to address these needs.
The CHART model has two tracks. CMS recently opened applications for the first, the Community Transformation Track, which will provide $75 million for up to 15 organizations to lead care transformation in rural areas across the country. These organizations will recruit hospitals, design care transformation plans, and work with multiple payers to transform care delivery.
The second track of the initiative, called the ACO Transformation Track, will provide seed funding for up to 20 rural-focused ACOs to start in the Pathways to Success program in January 2022. This track is modeled after the highly successful ACO Investment Model (AIM). AIM ran from 2016 to 2018, providing start up funds to small rural ACOs just getting started in accountable care. To date, AIM is the most successful CMS alternative payment model, saving $382 million over three years while maintaining care quality. Caravan Health played a big role in AIM, sponsoring 21 of the 41 rural ACOs, which brought in more than half the total savings.
With our roots in rural accountable care, we will bring our insight about how this new model can help rural providers succeed in value-based care. Both the Community Transformation Track and the ACO Transformation Track could offer significant financial assistance to rural providers at risk of closure without this support. ACO participation, with strong population health measures and predictable revenue streams, have helped providers weather the financial effects of the pandemic and put them on strong footing for the future.
Caravan Health is encouraged to see the details of this model unfold. Please join us to keep up to date with the latest in rural value-based payment. Register for the webinar here.