Alert: NextGen ACO LOI and Application deadline fast approaching!



On January 18, CMS offered up to physicians a black swan moment in the form of a Request for Applications (RFA), soliciting a third and final cohort of Next Generation ACOs (NGACOs) to begin participation in the 2018 program year.  

The NGACO allows physician-led organizations to

  • Assume full control of the budget and care delivery for traditional Medicare beneficiaries
  • Generate outsized savings relative to other CMS programs such as MSSP
  • Retain all net savings up to program limit, with no CMS share
  • Meet MACRA mandates for Alternative Payment Models (APMs) and thus be exempt from MIPs

However, this requires action right away, because the door will soon close for the third and final time.  We are happy to discuss this opportunity with you, whether you choose to use our services or not.  It's that important.

Applicants must sign and submit a non-binding Letter of Intent (LOI) now.  It’s quick and easy, and allows you access to the NGACO Application portal for the next stage.  CMS has set a deadline of May 18, 2017 to submit a detailed NGACO Application.  The Application is important, as it provides two things: 1) the data needed to inform your decision whether or not to accept risk, and 2) an option to accept or decline participation in the NGACO program.  

This is the final opportunity to participate in an NGACO.  Delaying your LOI submission will leave you with insufficient time to complete your Application before the deadline.

How You Benefit


Using our exclusive market assessment calculator, we typically find annual savings of 15% from Medicare FFS alone—all of which nets to the NGACO—and significantly more if the model is extended to Medicare Advantage, Medicaid, and direct to employer (DTE) arrangements.  For a mid-sized market with 25,000 FFS beneficiaries, this translates to a potential additional margin of $20-$30 million.

Neither the LOI nor NGACO Application commit your organization, they merely reserve your option to participate until you receive your data from CMS and have the chance to perform an underwriting assessment.  The final decision deadline will be sometime in the fall of 2017. 

Paradigm Provider Partners, Inc. (P3) can submit an LOI to CMS on your organization’s behalf.  There is no up-front cost or commitment to engage P3 at this stage.  Simply click here:  LOI Submission, which provides us the information to complete your LOI submission.  This secures your non-binding place-holder position for the NGACO program.  We will also provide you with a free copy of our powerful assessment calculator, customized for your market, so you can model the financial implications of becoming an NGACO.

The Application stage will require time and effort, and again the deadline is looming.  P3 has the team and experience to also complete your Application for you.  If you have any questions or require further information, please contact us.

More Information on CMS's NGACO Program



NGACO Timeline Summary: 

Febrary, 2017                      LOI Portal Open, can submit Letters of Intent

March, 2017                        Application Portal Open, can begin submitting applications

May 4, 2017                         Final day to submit an LOI

May 18, 2017                       Narrative part of Application due

June 9, 2017                        Provider lists and Coverage areas (p/o Application) due

Autumn, 2017                     Selection and Contracting; NGACO binding at this point

January 1, 2018                   Plan Year Begins; can start later for partial reimbursement