MACRA and Delivery Reform

The Medicare Access and CHIP Reauthorization Act (MACRA) of 2015 permanently repealed the flawed Sustainable Growth Rate (SGR) and creates two tracks for payment under a new "Quality Payment Program." First, it replaces the existing Physician Quality Reporting System (PQRS), Value-Based Modifier, and Meaningful Use of Electronic Health Records (EHR) programs with a new, single Merit-Based Incentive Payment System (MIPS) program that expands the pay-for-performance incentives in the fee-for-service system. The second track, Advanced Alternative Payment Models (APMs), provides bonus payments for physicians who participate in "alternative payment models" that hold providers financially accountable for health care costs.

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