Payment reform advocates have long touted the cost savings associated with alternative payment models. However, providers and facilities frequently have no data with which to make an informed decision as to whether they should participate. In order to give these providers and facilities incentive to pursue new avenues of payment, a local non-profit organization used 2009-2011, Commercial and Medicaid data from the CO APCD to examine utilization trends across Colorado hospitals.
At the end of their analysis, the non-profit was able to show average cumulative costs for medical and surgical episodes over a 90-day period, including the anchor admission. Additionally, they were able to summarize utilization patterns across hospital categories. This information gives providers and facilities the ability evaluate alternative payment models using data relevant their situations.