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Is CMS going to wreck ACOs with bad math?

Is CMS going to wreck ACOs with bad math?

May 29, 2025 Todd ShryockMedical EconomicsArtificial Intelligence (AI),Health Equity

Aledade and other accountable care organizations are pressing the Centers for Medicare & Medicaid Services to correct what they say is a major misstep in a financial benchmark model that could significantly reduce their earnings and possibly force some practices out of value-based care and discourage others from joining.

The controversy centers on CMS’s Accountable Care Prospective Trend (ACPT), a metric used to project cost growth in the Medicare Shared Savings Program. The metric was meant to provide more stability by forecasting national Medicare cost trends for each year of an ACO’s five-year contract. But CMS’s attempt at setting that number was not only late—it was also dramatically off what really happened in the marketplace.

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