Park Nicollet saves Medicare nearly $4.5 million while improving care

ST. LOUIS PARK, Minn. – A new report shows that the Park Nicollet Pioneer Accountable Care Organization (ACO) continued to improve care and lower costs in 2015. The report is from the Centers for Medicaid and Medicare Services (CMS). Park Nicollet was in the program for four years. In that time, Park Nicollet:

• Saved Medicare $4.5 million
• Earned $3.8 million of the total savings
• Raised its quality score from 89 to 93 percent

What is an ACO?

An ACO is a group of health care providers that coordinates care for patients. When ACOs lower costs, they can share the savings with CMS. If costs are too high, the ACO must pay CMS. Last year, costs were lower for 60 percent of Park Nicollet patients. But costs were higher than expected for some patients who have serious illnesses. As a result, Park Nicollet did not earn or owe money to CMS.

Steve Connelly, MD, is co-executive medical director for HealthPartners and Park Nicollet. He says, “We support Medicare for working to provide value. We appreciate the opportunity to work with CMS to improve quality, deliver a good patient experience and lower costs.”

Next Generation ACO

Park Nicollet is no longer a Pioneer ACO. Instead, the organization is participating in another Medicare ACO called Next Generation. The Park Nicollet Next Generation ACO serves nearly 15,000 patients. It offers more services and emphasizes quality.

Another HealthPartners ACO

HealthPartners is also in an ACO called the Northwest Metro Alliance. It is a partnership with Allina Health that cares for 300,000 patients. It has also improved quality and reduced costs.