CMS Innovation Center To End Four Payment Models Early

The Center for Medicare and Medicaid Services (CMS) announced last month that it is ending four Innovation Center models early: Primary Care First, End-Stage Renal Disease (ESRD) Treatment Choices, Making Care Primary, and Maryland Total Cost of Care. The models will end by December 31, 2025. Additionally, two previously announced but not yet implemented models to reduce drug costs will not be pursued: Medicare $2 Drug List and Accelerating Clinical Evidence.

Most of the models selected for early termination are within two years of their end date for the original performance period, as follows:

  • Primary Care First (2021 through 2026).
  • ESRD Treatment Choices (2021 through 2027). CMS will propose this termination through rulemaking.
  • Making Care Primary (2024 through 2034).
  • Maryland Total Cost of Care (2019 through 2026).

CMS also is considering reductions to the Integrated Care for Kids model, which started in 2020 and runs through 2026. It is considering reducing the size of the awards to the seven participating states or making other changes to the model.

By ending these Innovation Center models early, CMS anticipates saving $750 million, based on published model evaluation reports and financial forecasting. The CMS Innovation Center determined that other active models can meet the Center’s statutory mandate to identify ways to improve health care quality and reduce costs in Medicare, Medicaid, and the Children’s Health Insurance Program (CHIP). The Center intends that the models, initiatives, and demonstrations accelerate the shift to value-based care. The Innovation Center plans to publish final evaluation reports from the models slated for early termination to inform participants and other stakeholders of the key findings and insights about the tested approaches to value-based care.

To support the provider organizations and clinical professionals participating in one of the models, the Center intends to provide follow-up communication with timelines, technical assistance, and other information about the wind-down and model termination. The Center intends to advise those in state-specific total cost of care and primary care models of other regulatory options for advanced primary care payment.

For more information, contact: Office of Communications, U.S. Centers for Medicare & Medicaid Services, 7500 Security Boulevard, Baltimore, Maryland 21244; 202-690-6145; Website: https://www.cms.gov/priorities/innovation/overview

August 2025     00US25EUA0023

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