Payment Reform Evaluation: Lessons from State and Regional Efforts

Overview

What's Happening in Vermont?

Vermont's new "All Payer Model" is changing how hospitals and providers are paid for health care statewide.

Health care leaders, policymakers, and researchers agree that health services delivery in the United States is in need of major change. Most experts believe many problems with the health care system can be attributed to compensation models which misalign financial incentives lead to undesirable outcomes. Recognizing these issues, various organizations seek to realign financial incentives with the goals of improving quality and enhancing value.

The Robert Wood Johnson Foundation awarded two grants to the University of Washington to perform cross-cutting evaluation of twelve payment reform efforts. These efforts were designed to promote high-value health care outcomes through leveraging existing market knowledge, partnerships and resources in different states and regions of the United States. Both evaluations draw lessons by comparing and contrasting implementation processes and outcomes of the projects.