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New Medicare demonstration aims to improve healthcare quality

Ambulatory Safety Monitor, September 15, 2005

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In its efforts to improve healthcare systems, the Centers for Medicare & Medicaid Services (CMS) announced that it is accepting proposals for a new five-year quality improvement project, according to a statement from CMS.

CMS hopes its Medicare Health Quality Demonstration will help boost quality and efficiency by modifying payment systems and offering incentives for systems that offer better quality and lower costs.

"This is a major initiative to use innovative payments to improve health and reduce costs for everyone in an area, not just for Medicare beneficiaries but for all Americans," said CMS Administrator Mark B. McClellan, MD, PhD.

"We are allowing providers and communities to take advantage of Medicare payment reforms to redesign care delivery from the ground up, where they have the opportunity to structure that care and payment in a way that focuses on outcomes," McClellan said.

To view the statement issued by CMS, which includes information on when applications must be submitted, click here.

To learn more about the program, click here.

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