Value-based contracting (VBC) has the potential to reshape long-term services and supports (LTSS) by aligning payment structures with improved outcomes, higher care quality, and greater efficiency. To advance these efforts, the MLTSS Association convened the Value-Based Contracting Workgroup in 2024, composed of member managed care organizations (MCOs) tasked with identifying opportunities to promote the use of VBC within MLTSS and developing actionable strategies to overcome implementation barriers. Through in-depth discussions both within the Workgroup and with other external partners and stakeholders, the MLTSS Association developed this report, which offers recommendations to accelerate intentional partnerships and strategic adoption of VBC in MLTSS and addresses the unique challenges faced in this sector of managed care.
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