The Medicare Access and CHIP Reauthorization Act of 2015 (MACRA) is a term associated with Medicare payment reform. This legislation eliminated the flawed Sustainable Growth Rate (SGR) formula for determining Medicare payments for health care providers’ services.
MACRA establishes a new framework for rewarding health care providers for giving better care. It allows them to choose from two paths that link to quality payments:
Merit-Based Incentive Payment System (MIPS) – eligible professionals will be evaluated on resource use, clinical practice improvement activities, and meaningful use of certified EHR technology.
Alternative Payment Models (APMs) – qualifying participants will receive a lump sum incentive payment equal to 5 percent of the prior year’s estimated aggregate expenditures under the fee schedule.