Success Secrets from an ACO High Performer

Event Details
Tuesday, April 25, 2017
National Rural Health Resource Center (The Center)


Lee McCall, Chief Executive Officer, Neshoba County General Hospital-Nursing Home (Caravan Health ACO) and 
Heather S. Cannon, MD, Family Medicine, Neshoba Medical Associates

Facilitator: Terry Hill, Rural Health Innovations Executive Director

Neshoba County General Hospital-Nursing Home, a small, rural hospital in Philadelphia, Mississippi, shares their success story as a participant in the Magnolia-Evergreen ACO. In its first year, 2016, the ACO has performed with a projected savings of $10.9M, resulting in a reduction in cost of 8.4% or $900 per Medicare Beneficiary. The ACO has decreased ED visits by 13.2%, Inpatient Cost by 17.7%, and SNF cost by 22.6%, while at the same time improved ACO combined Net Revenue of $30 million. The Neshoba hospital’s quality outcomes and patient satisfaction also improved. McCall cited board education and physician education and support as being key ACO success factors, as well as gaining access to comprehensive Medicare patient information. Dr. Cannon remarked that even with additional physician responsibilities for value payments, the presence of a care coordination team provided the physicians with valuable assistance in managing the overall care of the patients. According to Dr. Cannon, the ACO experience has resulted in “improved medical care and a better patient experience.” McCall concluded, “rural collaboration works, even when it’s with hospitals in a different state.”

About Magnolia-Evergreen ACO, a Caravan Health ACO Model

  • 7 rural hospitals (PPS and CAH) - 3 in Mississippi and 4 in Washington
  • 1 large primary care practice in MS

This project is/was supported by the Health Resources and Services Administration (HRSA) of the U.S. Department of Health and Human Services (HHS) under grant number UB1RH24206, Information Services to Rural Hospital Flexibility Program Grantees, $1,560,000 (0% financed with nongovernmental sources). This information or content and conclusions are those of the author and should not be construed as the official position or policy of, nor should any endorsements be inferred by HRSA, HHS or the U.S. Government.