The Centers for Medicare and Medicaid Services' Innovation Center has extended deadlines for letters of intent and applications to participate in one of four models for Medicare bundled payment programs announced on August 23.

The four payment models in the Bundled Payments for Care Improvement Initiative are:

* Model 1: An acute care hospital stay only,

* Model 2: The acute care stay plus associated post-acute care,

* Model 3: Just the post-acute care following discharge, and

* Model 4: A single prospective bundled payment that would encompass all services during an inpatient stay by the hospital, physicians and other providers.

Interested organizations must submit a non-binding letter of intent by Oct. 6 (previously Sept. 22) for the first model, and by Nov. 4 for the other models. Final applications for Model 1 now are due by Nov. 19 (previously Oct. 21), with applications for the other models due by March 15, 2012.

Medicare will provide historical claims data to prepare for models 2 through 4. Organizations wanting the data must file a separate research request packet and data use agreement with the letter of intent.

"Applicants would propose the target price, which would be set by applying a discount to total costs for a similar episode of care as determined from historical data," according to an explanation from CMS.

More information is available at


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