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. 2012 Aug;87(8):714–716. doi: 10.1016/j.mayocp.2012.06.004

TABLE.

Comparison of Payment Arrangements in the Pioneer ACO Modela

Pioneer Core Pioneer Option A Pioneer Option B Pioneer Alternative 1b Pioneer Alternative 2c
Year 1 60% 2-sided10% sharing cap10% loss cap1% MSR 50% 2-sided5% sharing cap5% loss cap1% MSR 70% 2-sided15% sharing cap15% loss cap1% MSR 50% 1-sided5% sharing cap2%-2.7% MSR (depending on number of aligned beneficiaries) 60% 2-sided10% sharing cap10% loss cap1% MSR
Year 2 70% 2-sided15% sharing cap10% loss cap1% MSR 60% 2-sided10% sharing cap10% loss cap1% MSR 75% 2-sided15% sharing cap15% loss cap1% MSR 70% 2-sided15% sharing cap15% loss cap1% MSR 70% 2-sided15% sharing cap15% loss cap1% MSR
Year 3 Payment: Population-based payment of up to 50% of ACO's expected Medicare Part A & B revenue Payment: Population-based payment of up to 50% of ACO's expected Medicare Part A & B revenue Payment: Population-based payment of up to 50% of ACO's expected Medicare Part A & B revenue Payment: Population-based payment of up to 100% of ACO's own expected Medicare Part B revenue, less 3% discount Payment: Population-based payment of up to 100% of ACO's own expected Medicare Part A & B revenue, less 3% discount
Year 3 Risk: 70% 2-sided 15% sharing cap 15% loss cap 1% MSR Risk: 70% 2-sided 15% sharing cap 15% loss cap 1% MSR Risk: 75% 2-sided 15% sharing cap 15% loss cap 1% MSR Risk: Full risk for all Medicare Part B with a discount of 3% to 6% (depending on quality scores) and shared risk for Medicare Part A (70% sharing rate, 15% sharing and loss cap) Risk: Full risk for all Medicare Part A & B revenue with a discount of 3% to 6% (depending on quality scores)
Year 4 Same as above Same as above Same as above Same as above Same as above
Rebase using 2011, 2012, 2013 Rebase using 2011, 2012, 2013 Rebase using 2011, 2012, 2013 Rebase using 2011, 2012, 2013 Rebase using 2011, 2012, 2013
Year 5 Same as above Same as above Same as above Same as above Same as above
a

ACO = accountable care organization; MSR = minimum savings rate.

b

Seton Health Alliance selected Pioneer Alternative 1.

c

Genesys PHO selected Pioneer Alternative 2.

Adapted from Center for Medicare and Medicaid Innovation.4