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Katherine C. Pearson, Editor, and a Member of the Law Professor Blogs Network on LexBlog.com

MedPAC send recommendations to Congress re reimbursements

The Medicare Payment Advisory Commissionon Wednesday voted to approve several recommendations to Congressfocused on Medicare reimbursements for skilled nursing facilities andprimary care.  Thecommission recommended amending the Medicare payment system for skillednursing facilities to add a “separate nontherapy ancillary component”that includes prescription drugs and intravenous therapy. MedPAC alsorecommended revising the therapy component of the system to basereimbursements on “predicted patient care needs” and implementing aprovision for “outlier payments” for unusual financial losses. Inaddition, the commission recommended a proposal under which HHSSecretary Mike Leavitt would require skilled nursing facilities toreport diagnosis information, dates of services on claims filed and”services they furnish separately” on patient assessments. Facilitieswith the highest profits would receive the largest payment cuts, whilethose losing money would receive the largest increases.  Thecommission also recommended an increase in payments to physiciansdesignated by Leavitt as primary care-focused practitioners in anattempt to address a growing shortage of such physicians, CQ HealthBeat reports.  Inaddition, MedPAC considered a recommendation to establish a pilotprogram that would provide Medicare beneficiaries with a “medical home”to oversee their care. Under the proposal, physicians would be requiredto establish their capability to provide primary care; coordinatepreventive, maintenance and acute health care services; employ healthcare information technology for active medical support; conduct caremanagement; provide access and communication to patients at all times;and keep updated records of patients’ advance directives, including thetypes of treatments they should receive if they are incapacitated.

Source:  KFF Daily Health Policy Report, http://kaisernetwork.org/daily_reports/rep_index.cfm?DR_ID=51463

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