AAFP's TransforMED Receives $21 Million Grant

Health Care Innovation Award to Fund Three-Year Collaborative Project

June 19, 2012 06:00 pm Sheri Porter

TransforMED, a nonprofit subsidiary of the AAFP that specializes in practice redesign and transformation to the patient-centered medical home (PCMH), has received a grant totaling nearly $21 million from the CMS Center for Medicare and Medicaid Innovation.

[Stock Photo-Older man with doctor]

The Health Care Innovation Award, announced in a June 15 news release from HHS, will fund a three-year collaborative practice redesign project that harnesses the expertise of TransforMED; VHA Inc., a Texas-based national health care network; and Phytel, a health information technology company specializing in population health solutions.

Together, the three companies will foster care coordination between primary care practices, subspecialty practices and hospitals through the use of a sophisticated analytics engine able to identify high-risk patients across what has been dubbed the "medical neighborhood."

"This project is designed to put family physicians in the driver's seat and at the center of patient care in those medical neighborhoods," said TransforMED President and CEO Terry McGeeney, M.D., M.B.A.

Story Highlights

  • HHS recently announced that the AAFP's nonprofit subsidiary TransforMED is the recipient of a nearly $21 million Health Care Innovation Award.
  • The practice redesign firm will partner with two other companies to foster care coordination between primary care practices, subspecialty practices and hospitals in areas dubbed "medical neighborhoods."
  • The project aims to put family physicians at the center of patient care in these "medical neighborhood" settings, and is expected to save the health care system $53 million.

According to McGeeney, the project will leverage technology in a way that's not been done before. "We'll be able to extract information from practice and hospital databases to provide family physicians with the real-time data they need to manage and coordinate care and to improve population health management," said McGeeney.

The project will reach into 15 states, including Alabama, Connecticut, Illinois, Nebraska, Oklahoma and Florida; it is projected to reap nearly $53 million in health care savings in three years, train some 3,000 workers and create an estimated 22 new jobs.

AAFP President Glen Stream, M.D., M.B.I., welcomed the announcement. He said that TransforMED's success since its inception in 2005 validated decisions made by family medicine leaders, who at the time, predicted that the PCMH model of care could not be successful without fundamental changes to the larger health care system.

Stream noted that TransforMED's scope of work has expanded through the years to include hospitals, payers and large health systems. "TransforMED has grown into a successful business entity that has helped spur deep and fundamental change in the way physicians practice medicine," said Stream.

According to HHS, the 81 recently announced awards(innovations.cms.gov) -- together with 26 grantees announced last month -- mean that health care innovation will be ongoing for the next three years in urban and rural areas in all 50 states, Puerto Rico and the District of Columbia.