Implementing Alternative Payment Models Under MACRA: How the Federal Government Can Accelerate Successful Payment Reform

The Medicare Access and CHIP Reauthorization Act of 2015 (MACRA) creates strong incentives for physicians to participate in Alternative Payment Models (APMs), and it specifically encourages the development of “Physician-Focused Payment Models” in order to address the many problems with current payment systems that Merit-Based Incentive Payment Systems cannot solve. This report explains the provisions of MACRA relating to APMs and describes the actions HHS should take in the following areas: the regulations defining APMs and alternative payment entities; the processes for soliciting, reviewing, and approving Physician-Focused Payment Models; and the systems and resources to implement Physician-Focused Alternative Payment Models.