The Medicare Payment Advisory Commission recommended increasing payment rates for inpatient and outpatient hospital services at the full rate of inflation in 2010 concurrent with the implementation of a quality incentives program. MedPACs recommendation didnt provide a specific increase for hospitals, although the projected marketbasket update in 2010 for hospitals is expected to be 2.7%, according to MedPAC staff. All of the commissions payment update recommendations for 2010 are scheduled to appear in MedPACs March report to Congress. Commission Chairman Glenn Hackbarth clarified that the payment recommendation reflects the full marketbasket update minus what goes into pay-for-performance. In other words, hospitals will have to perform well on quality measures to get the full update, he said. MedPAC recommended reducing the indirect medical education adjustment by 1 percentage point to help finance the quality incentives program for hospitals. According to MedPAC staff, this adjustment would provide roughly $1 billion for pay-for-performance measures.
Late news: MedPAC seeks pay hikes for hospital services in 2010 ...
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