The Medicare Coordinated Care Demonstration, launched by CMS in 2002 to improve health outcomes and reduce Medicare costs for chronically ill beneficiaries, may not result in fewer hospitalizations, says a preliminary report by the research firm Mathematica. Although final data won’t be available until the 11 demonstration sites complete the program in 2008, Mathematica has analyzed the results from the first year and found that patients whose medical care is monitored by care coordinators have not had significant increases in adherence to medication regimens and diet and exercise recommendations. The study’s authors caution, however, that behavior modification takes time and people often don’t change their habits until they experience negative consequences. The care coordinators monitor how well patients are following their doctors’ advice and their understanding of their illnesses and develop plans to assist patients in being more compliant in managing their own care.