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Medicare Cuts May be Part of Budget Deal

The agreement between the White House and congressional negotiators on a two-year budget deal and an increase in the federal debt ceiling will be paid for in part with reductions in Medicare payments.
Under the reported agreement, negotiators agreed to increase federal spending $80 billion over two years, and that increase will almost certainly need to be offset by spending cuts. The New York Times has reported that “The Medicare savings would come from cuts in payments to doctors and other health care providers.”
US Capitol DomeThe budget agreement reportedly did not include specific spending cuts beyond extension of the current two percent Medicare sequestration cuts, although the publication The Hill reports that site-neutral Medicare outpatient payments may be part of the agreement; the additional cuts will need to be negotiated within Congress.
To learn more about the budget agreement and its possible implications for health care providers, see this New York Times article and this report from The Hill.

2015-10-27T16:31:46+00:00October 27th, 2015|Medicare|Comments Off on Medicare Cuts May be Part of Budget Deal

Low-Income Workers Rejecting Health Insurance

Low-wage workers offered health insurance by their employers are largely rejecting that option, according to a report in the New York Times.
According to the Times, most of the progress in reducing the number of unemployed Americans has been made through Medicaid expansion and subsidies offered through the federal and state health exchanges. As small businesses begin to be required to offer their workers unsubsidized insurance, however, they are finding that most of their lower-wage employees are rejecting the offer. As a result, 7.5 million people last year paid the Affordable Care Act fine for failing to obtain health insurance.
Health Benefits Claim FormA review of the profile of those who choose not to purchase employer-sponsored health insurance found that workers who earn between $15,000 and $20,000 a year purchase insurance only 37 percent of the time and that only when income rises to $45,000 does the health insurance purchase rate increase significantly.
For more information about who is and is not buying employer-sponsored health insurance and why, see this New York Times article.

2015-10-22T06:00:38+00:00October 22nd, 2015|Affordable Care Act|Comments Off on Low-Income Workers Rejecting Health Insurance

Increases in Medicaid Enrollment Should Slow

Growth in Medicaid enrollment, significant this year and last, should slacken in 2016, according a new Kaiser Family Foundation report.
kaiserThat growth – 8.3 percent in 2014 and 13.8 percent in 2015 – should fall to approximately four percent next year. The upswing is the result of Medicaid expansion authorized by the Affordable Care Act and most of the growth was in states that expanded their Medicaid programs, although in 2015 every state experienced an increase in Medicaid enrollment.
Growth in Medicaid spending, too, is expected to decline, from 14.3 percent in 2014 and 13.9 percent in 2015 to a projected 6.9 percent in 2016.
To learn more about how, where, and why Medicaid enrollment and spending continue to grow, see this CQ HealthBeat report presented by the Commonwealth Fund.

2015-10-22T06:00:01+00:00October 22nd, 2015|Affordable Care Act|Comments Off on Increases in Medicaid Enrollment Should Slow

Patient-Centered Care Needs Closer Scrutiny, Study Says

While the growing emphasis on patient-centered care has turned from a theory into an active tool in the development of public health care policy, a greater emphasis must be placed on cataloguing and examining more closely those efforts.
Or so says a new study from the Urban Institute.
According to the study, policy-makers need “…a clearer picture of where current policies have already taken us and where they are heading.”
urban institute 2The study also notes that “… efforts in HHS and elsewhere in the federal government should be comprehensively catalogued and subjected to the same strategic scrutiny as other care improvement activities” and that “The pace of change also underlines the need for better measures and more information on effective implementation.”
For a closer look at the study’s findings, go here, to the Urban Institute’s web site, to find the study “The Road to Making Patient-Centered Care Real.”

2015-10-20T06:00:33+00:00October 20th, 2015|Medicare|Comments Off on Patient-Centered Care Needs Closer Scrutiny, Study Says

Members of Congress Seek Increased Medicare Rates

Members of Congress have written to Centers for Medicare & Medicaid Services (CMS) acting administrator Andrew Slavitt asking him to reconsider his agency’s proposal to reduce the rates Medicare will pay providers for outpatient services.
In July, CMS proposed reducing those outpatient rates 0.2 percent in calendar year 2016.
US Capitol DomeThe letter notes that

According to MedPAC, Medicare already pays hospitals less than 88 cents on the dollar for outpatient services and this rule will make that situation worse for our constituents – both hospitals and patients alike.

The letter also states that

Medicare already pays providers less than the cost of care. Prescribing a negative update to OPPS [note: outpatient prospective payment system] payment rates will only make it more difficult for hospitals to serve their patients and their communities, particularly as they move to adopt delivery system reforms.

To see the letter, including the names of the 95 Democrats and Republicans who signed it, go here.

2015-10-13T06:00:53+00:00October 13th, 2015|Medicare|Comments Off on Members of Congress Seek Increased Medicare Rates

GAO Questions Impact of Medicare Value-Based Purchasing Program

Medicare’s value-based purchasing program may not be having much of an impact on the quality of care hospitals provide, according to a new report by the U.S. Government Accountability Office.

According to a GAO summary of its report Hospital Value-Based Purchasing: Initial Results Show Modest Effects on Medicare Payments and No Apparent Change in Quality-of-Care Trends,

GAO’s analysis found no apparent shift in existing trends in hospitals’ performance on the quality measures included in the HVBP [note: hospital value-based purchasing] program during the program’s initial years.
gaoThe agency did note, however, that

…shifts in quality trends could emerge in the future as the HVBP program continues to evolve.

The study also evaluated how safety-net hospitals fare under the program.

GAO found that safety net hospitals, which provide a significant amount of care to the poor, consistently had lower median payment adjustments – that is, smaller bonuses or larger penalties – than hospitals overall in the program’s first three years. However, this gap narrowed over time.

For a closer look at the GAO study and what it means, see this Kaiser Health News report. Find the study itself here, on the GAO web site.
 

2015-10-08T06:00:16+00:00October 8th, 2015|Uncategorized|Comments Off on GAO Questions Impact of Medicare Value-Based Purchasing Program

Study Considers How Best to Prevent Readmissions

A five-year study performed by researchers from the Yale School of Public Health has found that while many hospitals have successfully reduced the rate of readmission for their Medicare patients, few specific strategies have emerged as best practices for tackling this challenge.
In fact, only one strategy appears to be universally effective: discharging patients with their follow-up appointments already made.
Beyond that, researchers found that hospitals lowered their readmission rates by employing a number of tools and that most successful hospitals employed at least three such tools – although which tools they employed differed and more tools did not produce better results.
Hospitals have been working to lower their readmissions in response to Medicare’s hospital readmissions reduction program, which imposes financial penalties for hospitals that readmit “too many” of their Medicare patients.
The study’s conclusion:

commonwealth fundHospital readmission rates result from the confluence of diverse patient, provider, and organizational factors. Despite a wide range of hospitals and five years of study, we found little evidence that specific strategies conferred improvements across hospitals, aside from booking follow-up appointments before discharge. Rather, adopting at least three strategies, tailoring implementation efforts to local circumstances, and persistence over time seemed to be keys to success.

Find the Yale study “National Campaigns to Reduce Readmissions: What Have We Learned?” here, on the web site of the Commonwealth Fund, which underwrote the research.

2015-10-05T06:00:55+00:00October 5th, 2015|Medicare|Comments Off on Study Considers How Best to Prevent Readmissions

Hospitals, Especially Safety-Net Hospitals, Struggle With Heart Failure Readmissions

For all the emphasis on reducing readmissions to hospitals, providers continue to struggle to prevent readmissions of patients suffering heart failure.
medical-563427__180Or so concludes a new study published in the Journal of Cardiac Failure.
According to the study, there has been only a slight reduction in readmissions rates for heart failure patients over the past four years.
In addition, Fierce Healthcare reports that

…2014 research revealed that safety-net hospitals and those with largely low-income patient populations are at particular risk for heart failure readmissions; patients from lower-income neighborhoods, researchers found, were nearly 17 percent more likely to be readmitted within six months of discharge.

This finding supports the Safety-Net Association of Pennsylvania’s long-time contention that the distinct challenges Pennsylvania’s safety-net hospitals face in serving their especially low-income, medically challenged communities speak to the need for public policy that reflects those special challenges. 
To learn more about this issue, see this Fierce Healthcare report.
 

2015-10-02T06:00:12+00:00October 2nd, 2015|Medicare, Uncategorized|Comments Off on Hospitals, Especially Safety-Net Hospitals, Struggle With Heart Failure Readmissions

Better Medicaid Data Needed, Governors Say

States need better data to meet the needs of Medicaid recipients with complex medical needs, according to the National Governors Association (NGA).
national governors associationOne of the biggest costs in state Medicaid programs is “super-utilizers”: patients who consume a significant amount of health care services. Although relatively few in number, these patients account for a significant proportion of state Medicaid expenditures.
The group’s conclusion is based on the NGA Center for Best Practices’ experience working with seven states to find better ways to meet the needs of these patients with better but less-expensive care.
According to the report,

Before state leaders can begin to address their super-utilizer populations, they first need to understand who those patients are, how they use the health care system, and how the state might adapt its system to meet patient needs.

To do this, state Medicaid programs need more and better data so they can

  • understand the characteristics of complex populations
  • identify and target specific patients
  • ensure effective management and evaluation

Pennsylvania’s safety-net hospitals routinely serve significant numbers of such patients.
To learn more about the NGA’s recommendation and how it reached it, go here to see its report Using Data to Better Serve the Most Complex Patients: Highlights from NGA’s Intensive Work with Seven States.

2015-10-01T06:00:52+00:00October 1st, 2015|Pennsylvania Medicaid policy|Comments Off on Better Medicaid Data Needed, Governors Say

Court Rebuffs HHS on Medicare Two-Midnight Rule Pay Cut

A federal court has told the U.S. Department of Health and Human Services that it will have to do more to justify a 0.2 percent cut in inpatient payment rates that is part of the controversial Medicare two-midnight rule.
gavelThe court decided that in addition to providing a better rationale for the pay cut, Medicare also will need to have a public comment period for that rationale.
Medicare had already delayed implementation of the two-midnight rule.
To learn more about this court decision, see this McKnight Long-Term Care News article.

2015-09-30T06:00:46+00:00September 30th, 2015|Medicare|Comments Off on Court Rebuffs HHS on Medicare Two-Midnight Rule Pay Cut
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