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Alternative Payment Methodologies
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From Volume to Value

Community health centers are experts at providing cost-effective, team-based, and patient-centered care, which makes them perfect testing grounds for value-based payment, which incentivizes the link between health outcomes and payment. Instead of traditional fee-for-service payments that reward volume, value-based payments rewards better health, better experience of care, and lower total costs of care.


To get there, MPCA formed an alternative payment methodology (APM) workgroup to help design a program that will help shift health center payments from a volume-based to a value-based system. Workgroup members include MPCA staff members, health center representatives (e.g., executives and quality improvement experts), and consultants from Health Management Associates. 




You can learn more about the APM framework the workgroup is developing in the following presentations:

  • APM Overview, a level-setting webinar that discusses the definition of an APM, how APMs present nationally, and the benefits of implementing an APM. 
  • The Strawman of a Michigan APM, a webinar that outlines the framework that Health Management Associations and the APM workgroup developed together.
  • Financial Modeling Tool, a webinar that explains how to use a financial modeling tool developed to help health centers determine if an APM is right for their organization. For access to this tool, contact Amber Desgranges.


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