TEAM moves forward: What hospitals must do now with CMS baseline data [updated]

New updates as of July 2 

• CMS has released Transforming Episode Accountability Model (TEAM) performance year (PY) 1 baseline period data to a second wave of participating hospitals. Hospitals included in this wave had their Data Request and Attestation Form (DRA) and Data Sharing Agreement (DSA) submitted to CMS through the TEAM participant portal by May 26. 

• Any hospital that submitted their DRA and DSA to CMS after May 26 will not receive their TEAM PY1 baseline period data until fall 2025. 

Important note: 

If your hospital won’t receive its TEAM PY1 baseline data until fall 2025, don’t let that delay your preparation. Simulated TEAM episodes of care can still offer valuable insight into how your hospital is positioned ahead of the model’s launch.  

All hospitals should also expect an update to their baseline data, including preliminary target prices, in the fall of 2025. This will account for the additional 2024 data run-out and pending methodological updates expected to be finalized in the IPPS FY 2026 Final Rule. 

Hospitals must act swiftly 

CMS took a decisive step in advancing its mandatory alternative payment model: TEAM. With the release of the federal fiscal year 2026 IPPS proposed rule and a confirmed list of 745 participating hospitals, TEAM is rapidly moving from planning to execution. 

The model holds hospitals accountable for Medicare Part A and B spending for 30-day episodes of care related to five major surgical procedures. If costs exceed CMS’ target prices, hospitals will be held financially accountable. 

The first and second wave of baseline data is here 

CMS began releasing TEAM PY1 baseline data to two cohorts of participating hospitals, with more hospitals expected to receive data in the fall. To access their data, hospitals must complete the CMS TEAM Data Request and Attestation Form (DRA) and Data Sharing Agreement (DSA) through the TEAM Participant Portal.  

Hospitals that submitted their DRA and DSA to CMS after May 26, will not receive their PY1 baseline period data until fall. These data are essential, as they help hospitals identify inefficiencies and quality gaps before the model launches on Jan. 1, 2026. While some organizations have already begun preparing using alternate sources of data, others were waiting for these data to understand how they’re positioned.What should hospitals anticipate in this baseline data release? 

The TEAM PY1 baseline data files include an episodes file, claims files for Medicare Part A and B settings of care and a preliminary target price file. It is important to note that the data CMS has distributed only includes episodes with an anchor admission end date through June 30, 2024, and is based upon CMS’ TEAM specifications from the IPPS FY 2025 final rule.  

In the fall, CMS will need to re-release the TEAM PY1 baseline period data to all participating hospitals. They’ll do this to capture: 

• the complete episode experience for the final year of the three-year baseline period for PY1 once there has been sufficient claims data run out; and 

• any TEAM specifications that may change based on proposed updates in the IPPS FFY 2026 IPPS final rule, which will be published in August 2025.   
  
  

How to position yourself for TEAM with CMS baseline data 

Hospitals must act swiftly. Partnering with Medicare payment policy and data analysis experts like DataGen can help you understand baseline performance, identify potential opportunities and promptly take action to remediate gaps, inefficiencies and non-optimal quality outcomes.  

DataGen’s TEAM solution provides the analytical foundation hospitals need to further preparation now and throughout the model’s duration for ongoing performance evaluation — delivered through an interactive, web-based platform. 

Our insight equips hospitals to: 

• understand baseline and ongoing performance compared to target prices; 

• identify key cost and quality drivers throughout the episode of care; 

• compare utilization to benchmarks and simulate improvement scenarios; and 

• validate reconciliation results. 

Success in TEAM is not guaranteed. Now is the time to contact DataGen to schedule a no-obligation consultation and start preparing with confidence.