Doctors Medical Center of Modesto is one of only 18 California hospitals, health systems, clinics and physician groups to receive a portion of nearly $20 million from Blue Shield of California to help participate more effectively in accountable care organizations (ACOs). Blue Shield grants are designed to help doctors and hospitals collaborate to optimize patient care.

Doctors Medical Center’s grant award of $650,000 will deliver a post-acute discharge program that seeks to reduce post-discharge readmissions and emergency room visits, improve primary care follow up and reduce overall length of stay. The grant is being made as part of Blue Shield’s two percent pledge, a commitment the company made last June to limit annual net income to two percent of revenue and to return the difference collected above that amount to customers and the community.

ACOs are arrangements among providers and payors in which financial and clinical integration is created to foster greater efficiency and quality in the delivery of care to persons who access the ACO providers. Blue Shield currently participates in three ACOs and has plans for additional collaborations in Orange and Stanislaus counties aimed at delivering integrated, cost-efficient care to 38,000 new members. ACOs are a key part of delivery system reforms included in the Affordable Care Act.

“We received nearly 60 grant applications from providers around the state. This demonstrates overwhelming interest among providers in collaborating to reduce costs and enhance the quality of care,” said Paul Markovich, executive vice president and chief operating officer of Blue Shield of California.