Initiative Will Measure Progress on Payment Reforms Intended to Improve Quality, Reduce Costs

PRINCETON, NJ — September 5, 2017 — Catalyst for Payment Reform (CPR), a non-profit corporation working to improve the quality of health care while also reducing costs, has selected New Jersey as one of three states where the progress of payment reform will be measured.

The New Jersey Health Care Quality Institute will serve as CPR’s lead New Jersey partner to help facilitate CPR’s Scorecard on Payment Reform. The Scorecard will measure how much and what type of payment reform is happening in New Jersey.

“We are pleased to work with CPR so all of us in New Jersey can learn what progress we’ve made in implementing payment reform,” said Linda Schwimmer, President & CEO of the New Jersey Health Care Quality Institute. “Our mission at the Quality Institute is to make sure we only pay for health care that is truly valuable to patients and we think payment reform can drive quality and reduce costs.”

CPR also selected Virginia for the pilot program and a third state will be announced shortly.

Schwimmer said the Scorecard will be helpful for several Quality Institute initiatives, including the Maternity Episodes of Care workgroup, a sub group of the Medicaid 2.0 initiative, which is designing a global episode payment for maternity care in Medicaid. The Scorecard will also provide valuable information for the Quality Institute’s QI Collaborative, which is working on New Jersey’s Transforming Clinical Practice Initiative to help providers prepare for their participation in alternative payment models.

CPR is an independent, non-profit corporation working to catalyze employers, public purchasers and others to implement strategies that produce higher-value health care and improve the functioning of the health care marketplace.

The organization has measured the implementation of payment reform since 2013 at both state and national levels. The new Scorecard creates a new era of tracking progress by assessing not only how much and what types of payment reforms health insurance plans have implemented, but whether these payment reforms are having their intended impact on the quality and costs of health care.

Payment reform encourages value-based payments, which means that payment for health care reflects performance, especially quality and safety, and that payment methods are designed to spur efficiency and reduce unnecessary spending.

“Alternative payment models were created to better align the way we pay for health care with the outcomes we want for our health,” Schwimmer said. “The scorecard will report on the kinds of payment models that are being implemented in New Jersey and how they are working to improve outcomes and lower costs. We hope they are doing both.”

Suzanne F. Delbanco, PhD., Executive Director of CPR, called the Quality Institute the right New Jersey partner for the pilot program.

“We selected the Quality Institute because of the organization’s independence and its history of creating and executing initiatives that drive improvements in health care quality and help to contain costs,” said Suzanne F. Delbanco, PhD., Executive Director of CPR. “We are excited to partner with the Quality Institute on this pioneering effort and hope it will support efforts toward better, more affordable health care for the citizens of New Jersey.”

The development and piloting of the new Scorecard are funded by grants from the Robert Wood Johnson Foundation and the Laura and John Arnold Foundation. Results will be published in August 2018.

About the New Jersey Health Care Quality Institute

The New Jersey Health Care Quality Institute is the only independent, nonpartisan, multi-stakeholder advocate for health care quality in New Jersey. The Quality Institute’s mission is to undertake projects and promote system changes that ensure that quality, safety, accountability and cost-containment are closely linked to the delivery of health care services in New Jersey. Learn more about us at


Carol Ann Campbell

New Jersey Health Care Quality Institute