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Washington Highlights

HHS Announces 106 New Medicare Accountable Care Organizations

January 11, 2013—Secretary of Health and Human Services (HHS) Kathleen Sebelius Jan. 10 announced 106 newly formed accountable care organizations(ACOs) participating in the Medicare Shared Savings Program (MSSP), authorized by section 3022 of the Affordable Care Act (ACA, P.L. 111-148 and 111-152).  ACOs are formed through partnerships between physicians, hospitals, and other providers to encourage higher-quality, coordinated care.  ACOs must meet cost and quality targets, and, if successful, are able to share in savings.

With the announcement of these ACOs, there are now more than 250 Medicare ACOs participating through the MSSP [see Washington Highlights, April 13, 2012, and July 13, 2012] and Pioneer ACO model [see Washington Highlights, Dec. 22, 2011].  The group on Jan. 10 also includes 15 Advance Payment Model ACOs, physician-based or rural providers who would benefit from greater access to capital to invest in staff, electronic health record systems, or other infrastructure required to improve care coordination.  Medicare will recoup advance payments over time through future shared savings.  Many AAMC members are participating in ACOs through these various programs.

For organizations that wish to participate in the MSSP beginning in January 2014, the next application period is summer 2013.  More information about the Shared Savings Program is available on the Web site for the Centers for Medicare and Medicaid Services.


Jane Eilbacher
Policy and Regulatory Specialist
Telephone: 202-828-0896


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Washington Highlights, a weekly electronic newsletter, features brief updates on the latest legislative and regulatory activities affecting medical schools and teaching hospitals.

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Jason Kleinman
Sr. Legislative Analyst, Govt. Relations
Telephone: 202-903-0806