Oregon’s Toolkit for Implementing Value Based Payment (VBP)

Introduction to the toolkit

Welcome to Oregon’s Toolkit for Implementing Value-Based Payment (VBP)!

Oregon is one of the first states to develop a Compact between payers and providers to promote increasing use of advanced VBP models. This statewide VBP commitment is designed to achieve the “quadruple aim” of enhancing patient experience, improving population health, reducing costs, and improving the work life of health care providers. To achieve the triple aim, health care system transformation and payment reform must also focus on reducing health disparities and achieving health equity.

“Currently, the majority of health care is paid based on quantity, or fee-for-service (FFS). In contrast, VBP supports providers in delivering whole-person care and holds them accountable for improving quality, costs, patient experience, and — increasingly — equity.” Oregon VBP Compact Roadmap, 2022

Successful VBP arrangements require an active partnership as payers and provider entities shift from a volume to a value focus. This Toolkit will help clinicians, provider entities, and their payer partners prepare for new VBP arrangements, implement these arrangements, and overcome specific challenges to operating successfully within increasingly advanced VBP models.

You can use the Table of Contents to identify how to get started with new VBP models. Each action item in the VBP checklist is described in the relevant Toolkit section.

VBP Basics

Section I: Understand VBP models

Section II: Get ready for VBP

Section III: Go live with VBP model(s)

Section IV: Understand VBP compact models

While the Toolkit presents information in a sequential order, the process of implementing a new or more advanced VBP approach is iterative. Therefore, you can jump from one section to another to focus on items that are of most interest, depending on where you are in your VBP journey.

Throughout this document, the following icons highlight key actions and considerations for the reader.


While the primary audience for this Toolkit is expected to be provider entities and clinicians, important VBP considerations related to payers are highlighted in blue call-out boxes such as the following:

An ideal payer-provider VBP partnership includes communication, collaboration, data sharing, and technical assistance support, as well as prospectively defined value objectives, financial incentives, and appropriate protections.

Note: VBP models are also called alternative payment models (APMs). We use VBP in Oregon to emphasize the importance of value in the payment model.

VBP Toolkit Menu