CMS Ends Kidney Care Payment Model, Updates Home Health and Chronic Care Initiatives

The Centers for Medicare and Medicaid Services (CMS) will conclude its End-Stage Renal Disease Treatment Choices (ETC) model ahead of schedule on December 31. This trial, aimed at incentivizing providers financially to increase home dialysis use and facilitate kidney transplants for patients with end-stage kidney disease, did not prove effective. The ETC model was a significant CMS initiative under its Innovation Center efforts to improve kidney care delivery in the United States. Separately, CMS announced a 1.3% reduction in Medicare reimbursements for home health providers in 2026, a revision from an initially proposed 6.4% cut. This adjustment aligns with the Patient-Driven Groupings Model, which bases payments on patient characteristics rather than visit volume, aiming to reduce billing inaccuracies such as upcoding. In another innovation-driven move, CMS launched the Advancing Chronic Care with Effective, Scalable Solutions (ACCESS) Model, a decade-long payment program promoting technology use in managing chronic diseases like diabetes, hypertension, chronic kidney disease, obesity, depression, and anxiety. This model intends to offer stable reimbursement to health technology providers, addressing previous reimbursement challenges. Other health sector developments include the controversial bankruptcy maneuver by Genesis HealthCare, aiming to restructure liabilities across its numerous nursing facilities nationwide. Additionally, a philanthropic gift exceeding $50 million will fund medical laboratory science education at the University of Washington, supporting workforce development in the medical field. A recent study also highlighted a narrowing wage gap within the healthcare industry during the COVID-19 pandemic, with lower-paid workers experiencing significant pay increases. Meanwhile, concerns about transparency persist, as research indicates undisclosed industry payments to authors in leading psychiatry journals may influence medical research integrity. This suite of updates reflects ongoing regulatory, reimbursement, and innovation trends in U.S. healthcare, with implications for providers, payers, and policymakers focused on improving care delivery and ensuring sustainable payment models.