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IOM report supports national performance measures

Ambulatory Surgery Reimbursement Update, December 13, 2005

A new Institute of Medicine (IOM) report urged Congress to establish a system to measure and report on the performance of healthcare providers and organizations, a boost for pay-for-performance advocates, according to The Commonwealth Fund.

"One of the biggest obstacles to overcoming shortfalls in the quality of healthcare is the absence of a coherent, national system of assessing and reporting on the performance of providers and organizations," said Steven Schroeder, chair of the IOM committee that wrote the report. "Leadership at the federal level is necessary to ensure that the effort to develop performance measures achieves overarching national goals for healthcare improvement."

The IOM report also said that:

• although some health plans have established pay-for-performance programs, these programs "frequently overlook areas of national interest that are difficult to quantify, such as whether care is equitable, efficient, and well-coordinated"
• Congress should provide up to $200 million in annual funding from the Medicare Trust Fund to pay for a National Quality Coordination Board

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