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Premier submitted comments on the proposed mandatory bundled payment model, the Transforming Episode Accountability Model (TEAM), which CMS proposed in its FY 2025 Medicare IPPS/LTCH PPS proposed rule.
Under its proposal, CMS will require selected acute care hospitals to participate in a five-year mandatory episodic payment model starting in calendar year (CY) 2026. Premier believes that voluntary models with the appropriate incentives are ideal as they allow providers to select participation based on their mission, abilities and market realities. However, if CMS chooses to move forward with the mandatory episodic models, Premier strongly urges the agency to consider the following key design principles:
Continue to engage with the provider community on this model after its launch to address any operational challenges and to ensure providers have meaningful opportunities to advance delivery system transformation.