Mark Smith: Accomplishments and Impact of the LAN | 2019 LAN Summit

Mark Smith: Accomplishments and Impact of the LAN | 2019 LAN Summit


Nǐ hǎo! Bom Dia! Good morning everyone! And welcome to the seventh summit of the LAN. My name is Mark Smith. I’m the former co-chair of the Health Care
Payment Learning and Action Network’s Guiding Committee. And on behalf of the LAN, I want to welcome
you to this day and thank you for attending. We have an exciting event planned today featuring
more than 20 sessions, 80 speakers, and a range of topics that we hope you’ll find valuable. Our theme this year is Aligning for Shared
Accountability and it’s critical for us to discuss the importance of paying for value
and the increasing demand for shared accountability that is payment models based on not just one
sided but two-sided risk. As you’ll hear from the other Mark, Mark McClellan,
uh, shortly, the movement for shared accountability is a and has been, um, a bipartisan movement,
a national goal, and accelerating that movement we hope will advance the, the, uh, programs
that can improve quality, uh, reduce health inequities and advance the goal of cost containment. The LAN is excited to help lead this charge
dedicated to providing thought leadership, strategic direction and ongoing support, um,
to accelerate our health care systems adoption of alternative payment models that result
in better health and better health care value. Great health care in America is the shared
responsibility of everyone involved and everyone in this room. Patients, providers, payers, purchasers, policymakers,
product manufacturers, and others. It’s our shared mission to lower costs,
improve patient experience, produce better health outcomes, and reduce the barriers to
APM participation. Before we hear more about the future direction
of the LAN, let me take a minute to reflect on some of what the LAN has accomplished since
we’ve been around in 2015. In 2015, the LAN set clear and specific goals
that align with the goals then set by the Department of Health and Human Services. These goals were moving 30 percent of health
care spending into APMs by 2016 and 50 percent by 2018 and they were the foundation of our
efforts over the past four years to collect in increasingly granular detail the data on
APM adoption. The annual APM measurement effort has evolved
to incorporate data from a large sample of payers that represent nearly 80 percent of
covered Americans and now serves as the most comprehensive snapshot available for measuring
progress on payment reform. This measurement effort wouldn’t be possible
without the LAN’s APM framework, which was originally published in 2016 and subsequently
refreshed, refreshed in 2017. This framework was I think a landmark achievement
because it established a common vocabulary and pathway for both discussing and measuring
alternative payment model adoption and it served us well. It clarifies APM’s into four categories and
eight subcategories and it specifies decision rules to standardize classification efforts. It also lays out core principles for designing
APMs which have influenced the way that payers and purchasers design them. Over the past four years the framework has
become the industry standard for classifying APMs and setting goals for APM adoption. Private payers such as Anthem and others use
the framework to set value-based payment goals, and at least 12 state Medicaid agencies now
use it to set value-based purchasing requirements in contracts with managed care organizations. But simply defining the standards doesn’t
go far enough to transform payment. The field needed practical tools to accelerate
adoption. In addition to building the framework and
conducting the annual measurement effort, the LAN convened four multi-stakeholder workgroups
and published nine white papers on topics such as maternity bundles, financial benchmarking,
and performance measurement in population based APMs, data sharing requirements and
primary care models. So earlier this year, the public, um, to empower
the public and private sector with these tools, the LAN developed and published the Roadmap
for Driving High Performance in Alternative Payment Models. We call it the APM Roadmap and it’s an interactive
tool containing promising practices and the most current strategies for designing and
implementing successful APMs. The material in the Roadmap was gathered on
insights from nine payers and 13 providers from both large and small plans covering approximately
135 million people. The Roadmap gives implementers practical strategies
for designing APMs, collaborating to transform care delivery and delivering person-centered
care. In the five months since it was released,
the Roadmap is already making an impact on the field having been viewed nearly 15,000
times online and downloaded by thousands of stakeholders. Today’s LAN Summit sessions were designed
based on the Roadmap’s three domains: APM design, payer-provider collaboration, and person-centered
care. So as you can see, our work has been and will
continue to be- to transform health care payment in order to transform health care. The LAN will continue to strive to be a trusted
partner that connects public and private sectors, identifies and shares best practices, and hopes
to guide the field in rapidly moving towards value-based payment. It is challenging work as all of you here
know, but continued form of momentum and new outlooks on how to build on the incredible
progress that’s been made are the reasons that we’re excited about the future and the
reasons we are here today.

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