Building the Foundation for Payment Reform for Community Health Centers in California

In 2011, JSI was engaged by the California Primary Care Association (CPCA) to investigate alternative payment models for health centers within the prospective payment system (PPS) framework or as a viable alternative to PPS. The purpose of this report is to provide California health center leaders with a conceptual framework and vocabulary for payment reform and findings on the question: Which primary care payment reform models should health centers consider? The report also provides key findings regarding four payment reform/delivery system transformation models that represent the areas of most activity nationally and in California: pay for performance (P4P), patient-centered medical home (PCMH), accountable care organizations (ACOs), and primary care capitation.