In this year’s proposed IPPS rule, CMS announced its latest episode-based Alternative Payment Model (APM), the Transforming Episode Accountability Model (TEAM). If finalized, TEAM would be a mandatory, five-year model launching on January 1, 2026 with voluntary carbon emissions reporting and technical assistance. Hospitals selected to participate would coordinate care for traditional Medicare patients having one of the following procedures:

  • Lower extremity joint replacement surgery
  • Surgical hip femur fracture treatment
  • Spinal fusion
  • Coronary artery bypass graft
  • Major bowel procedures/surgery

TEAM would have three participation tacks: Track 1 with no downside risk (but lower levels of reward), Track 2 with low risk and reward, and Track 3 with the highest risk and reward. Although CMS is proposing the concept of the model, many of the details are still in development. Once the model is finalized, policy details will be released in future rulemaking.