Payment Reform Commission Gets to Work

The state's new Payment Reform Commission met for the first time Friday afternoon and laid out an aggressive agenda for its work. MMS Vice President Alice T. Coombs, MD, was named to the commission late last week.

commissioners started quickly Friday and discussed a proposed set of working principles, but reached no immediate consensus. Among the draft principles debated: • Fee-for-service payments "rewards overuse of services and therefore is not a preferred model for most provider payments." Some commissioners thought this statement was too broad.

  • Payment should be "adequate to cover the costs of efficient providers and ensure adequarte access to care for consumers"
  • Payments should "reward the delivery of efficient, high quality health care that aligns with evidence-based guidelines"
  • Payment should "minimize risk to providers for events largely outside of their control" and should not reward or discourage providers for "cherry picking" healthy patients
  • Payments should "minimize provider and payer administrative costs that do not add value"

Before adopting final principles in mid-February, the commission plans to solicit input from a wide range of health care stakeholders, including physicians, hospitals, insurers, employers and consumer advocates.

The commission is co-chaired by Leslie Kirwan, state secretary of administration and finance, and Sarah Iselin, commissioner of the Division of Health Care Finance and Policy. It will meet at least twice a month, and smaller workgroups will likely meet more frequently. The commission plans to file its report by the end of May.

The commission will post its work at www.mass.gov/dhcfp/paymentcommission.

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