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MEDIA RELEASE

CONTACT:

Paul Garson
Chief Operating Officer
Genesys PHO
307 E. Court Street
Flint, MI 48502
810-424-2021
Paul.Garson@genesyspho.com

12/20/2011

Genesys Physician Hospital Organization to participate as Medicare Pioneer Accountable Care Organization

New Model Designed to Offer Better Care to Beneficiaries
through Partnership with Medicare

FLINT, MI - The Genesys Physician Hospital Organization (PHO) — a collaboration between Genesys Health System and Genesys Physicians Group Practice – today announced it has been selected as one of only 32 in the nation to participate in the Pioneer Accountable Care Organization (ACO) model, a transformative new initiative sponsored by the Centers for Medicare & Medicaid Services (CMS) Innovation Center.

Through the Pioneer ACO Model, the Genesys PHO will work with CMS to provide Medicare beneficiaries with higher quality care, while reducing growth in Medicare expenditures through enhanced care coordination.

“The Genesys PHO is honored to be selected by CMS to participate in such a progressive and important national health initiative. Over the past 17 years, the Genesys PHO has solidified its position as one of the nation’s leading physician and health system collaborations capable of serving several hundred thousand people. As a mature and well-developed PHO, we have demonstrated the ability to improve care coordination between providers and to effectively provide cost-efficient high-quality care, all of which has made us well-positioned to be a Pioneer ACO,” said Michael James, who has served as the President and CEO of the Genesys PHO since its inception in 1994.

“We are looking forward to being part of the Pioneer ACO project, in that it will enhance our current work to both improve the health care experience of each of our patients and to promote the health of the overall population in our communities. All physicians working together with the engagement of the patient and his/her family will promote better and clear communication and reduce unnecessary health care spending to protect all of our rights for quality health care in the future,” said Gary King, M.D., Chairperson of Genesys Physicians Group Practice.

“In addition to expressing our appreciation to CMS for this opportunity to participate, Genesys wants to thank the many board members, primary care physicians and specialists who provided tremendous input into creating the Genesys PHO Pioneer ACO model. The process will result in our ability to lead in the development of health care models in the United States,” said Betsy Aderholdt, President and CEO of Genesys Health System in Grand Blanc, MI.

The Pioneer ACO Model is designed to encourage the development of ACOs, which are groups of doctors and other healthcare providers who work together to provide high quality care for their patients. As one in a diverse group of leading-edge health care organizations from around the country, Genesys PHO was chosen specifically by the Innovation Center to test the effectiveness of several models of payment in helping organizations make a rapid transition to higher quality care at a lower cost to Medicare.

“These Pioneer ACOs represent our nation’s leaders in health systems innovation, providing highly coordinated care for patients at lower costs,” said Marilyn Tavenner, Acting Administrator of CMS. “The Genesys PHO has demonstrated significant experience in providing high quality, coordinated care, and we are excited to partner with them,” Tavenner said.

Under the Pioneer ACO Model, CMS will provide incentives for participating health care providers who form an organization to coordinate care for patients. Providers who band together through this model will be required to meet quality standards based upon, among other measures, patient outcomes and care coordination among the provider team.

CMS will use robust quality measures and other criteria to reward ACOs for providing beneficiaries with a positive patient experience and better health outcomes, while also rewarding Genesys PHO for reducing growth in Medicare expenditures for the same patient population.

Unlike a managed care plan, Medicare beneficiaries will notbe locked into a restricted panel of providers. The Pioneer ACO Model is not a health plan or managed care plan. Under the Pioneer ACO Model, beneficiaries seeing doctors participating in an ACO will maintain the ability to see any doctor or healthcare provider, as well as the full benefits associated with traditional Medicare.

Today’s announcement was the culmination of a competitive selection process that began in May with the national release of a Request for Applications from CMS. The Genesys PHO was selected based on its demonstrated capabilities to offer high-quality, coordinated care.

The Pioneer ACO Model is one of a number of initiatives developed by the new Innovation Center. The Innovation Center was created by the Affordable Care Act to test new models of health care delivery and payment.

Background on Genesys PHO
Genesys PHO is collaboration between Genesys Health System and 160 primary care physicians with 400 participating specialist physicians who deliver health care services in Genesee, Lapeer, Shiawassee, Tuscola and northern Oakland counties. Genesys PHO and/or its participating providers focus on the personal relationship with the patients and their families, and have been recognized nationally, state-wide and locally for the quality of care that the patients receive and the improvements to the population of patients its participating providers serve.

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