Sutter-Affiliated Novato Community Hospital Pilots CMS Initiative
The Centers for Medicare & Medicaid Services Announced Participants in Initiative Aimed at Raising Quality and Lowering Costs
Novato Community Hospital
(NHC) is one of only seven providers in California to partner with the Centers for
Medicare & Medicaid Services (CMS) on Model 2 of a new pilot program—Bundled
Payments for Care Improvement initiative. Under this model, NHC will enter into payment arrangements with CMS
including financial and performance accountability for episodes of care related to
hip and knee replacement surgery. The episode includes the inpatient stay in the acute
care hospital and all related services 30, 60, or 90 days after hospital discharge. This is a three-year
project aimed at raising the bar on quality while lowering overall costs.
“For patients, this means a hospital is coordinating their care in a completely new way—from the moment they enter the facility for joint replacement surgery through the crucial recovery time after they leave the hospital,” said Grant Davies, CEO of Sutter Health’s North Bay Hospitals, which includes NHC. “We monitor their progress if they go home or to a residential rehabilitation center. We ensure they have needed in-home support to transition easily to outpatient physical therapy. We anticipate any issues that might arise and correct them early before they can escalate into serious problems.”
“Improving quality and lowering costs is the right thing to do for our patients and our community,” Davies continued.