Accountable care organization “refers to a group of providers and suppliers of services (e.g., hospitals, physicians, and others involved in patient care) that will work together to coordinate care for the patients they serve with Original Medicare (that is, those who are not in a Medicare Advantage private plan). The goal of an ACO is to deliver seamless, high quality care for Medicare beneficiaries.  The ACO would be a patient-centered organization where the patient and providers are true partners in care decisions.”  This is the ideal goal of ACO through HHS

The reality of these organizations is now becoming known through pilot programs that have been established. POLITICO

On May 12, 10 medical groups participating in a Medicare pilot program that paved the way for the ACO program declared that none would participate if the rule were not substantially modified. This is a huge blow to the ACO model. The providers that have participated in these programs have declared the risk of financial loss is to high.

This is very bad for health care reform because this program was the only staple of trying to control health care costs.