Medicare payment changes could prompt hospital closings, layoffs
Patient Access Weekly Advisor, May 27, 2009
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New Jersey hospitals could lose $97 million in federal funds next year and more than $500 million over the next five years–prompting even more Garden State hospital closings and layoffs–under a new Medicare payment rules proposed to take effect in October, according to a New Jersey Hospital Association analysis.
NJHA examined three provisions under CMS' 2010 inpatient prospective payment proposed rule, which would take effect Oct 1 and could cost the nation's hospitals $11 billion by 2014.
The proposed rule makes several changes, including two behavioral offsets that reduce payments to hospitals to adjust for variables in coding and classification of claims and another that would eliminate capital funds distributed under the graduate medical education system.
Read the full story by HealthLeaders Media’s John Commins.
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