The Comprehensive ESRD Care (CEC) Model is designed to identify and evaluate new ways to improve care and reduce cost for Medicare beneficiaries with ESRD (1). With 24 Fresenius Medical Care North America (FMC) sites in the ESRD Seamless Care Organizations (ESCOs), we appreciate the opportunity to discuss our approach, opportunities, and challenges. This perspective aims to highlight early learnings from the ESCO program sponsored by the Center for Medicare and Medicaid Innovation (CMMI).The ESCO program shows three elements of valuebased health care on the basis of the work by Porter and Teisberg (2), namely quality of care, service delivery (including patient experience and engagement), and cost control. We believe that the ESCO program has the opportunity to lead to a payment model with long-term sustainable results.
ESCOs in a NutshellAn ESCO is a partnership between a nephrology practice(s) and a dialysis organization. Medicare beneficiaries with ESRD are attributed to the ESCO on the basis of "first touch." First touch occurs when Medicare processes a claim submitted for outpatient dialysis by a dialysis clinic participating in an ESCO. The ESCO participants are responsible for the total Medicare Part A and B spending incurred by aligned beneficiaries. The CMMI establishes a historically based financial benchmark. If the cost of care for attributed beneficiaries is less than the benchmark, the ESCO participants have the opportunity to share savings with Medicare. If costs exceed the benchmark, the ESCO participants share the financial loss with Medicare. The amount of savings shared or the size of the check that the ESCO writes to Medicare is directly dependent on the ESCO's quality score. A higher score financially advantages the ESCO, whereas lower quality scores have the opposite effect. These reconciliations of the cost and clinical quality scores occur after the performance year. All ESCO participants are exposed to more than nominal financial risk.Today, there are 37 ESCOs participating in the Comprehensive ESRD Care Model. FMC partners with over 800 nephrology providers in 20 states and the District of Columbia to manage an ESCO population of patients clinically similar to the overall FMC patient population.
Approach to Clinical Care within an ESCOClinical care within an ESCO assumes broad care coordination responsibility for all clinical conditions of a patient. Patients with ESRD have high resource utilization with respect to cardiac and vascular disease, infections, behavioral health, nutrition, and endocrine care. Common sites of service include ambulatory, home, emergency department, hospital, and dialysis facility. The approach taken leverages both site of service and clinical condition competence around three themes: medical management, care navigation, and financial stewardship.Medical management focuses on ESCO quality measures (3) and daily care. This uses algorithms to address dialysis treatment prescription, anemia management, and bone and mineral metabolism but also includes logistic as...