MedPAC Recommends 1% Increase for Hospital Inpatient, Outpatient Services

The Medicare Payment Advisory Commission finalized recommendations yesterday that included 1 percent increases for hospital inpatient and outpatient payments, but MedPAC also moved forward with a controversial proposal on non-emergency evaluation and management services for hospitals, according to an AHA News Now report.

Advertisement

MedPAC approved a recommendation that would equalize Medicare payment rates for non-emergency E/M services between hospital outpatient departments and physician office settings. This would reduce HOPD payments for E/M clinic visits by more than 70 percent, but MedPAC advised that these changes be gradually enforced over three years, according to the report.

If the E/M recommendation is enforced by Congress, some hospitals with a disproportionate share percentage of 0.25 percent or higher would have payment reductions limited to 2 percent of overall Medicare payments.

MedPAC’s final hospital payment recommendations for FY 2013 were consistent with its December meeting. MedPAC’s next meeting will take place March 8-9.

Related Articles on MedPAC:

MedPAC Discusses Payment Changes for Post-Acute Providers Starting FY 2013

AHA Opposes MedPAC’s Proposal to Equalize E/M Medicare Payment Rates

Health Affairs: MedPAC’s SGR Fix Commits “Regrettable” Policy Errors

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

Advertisement

Next Up in Financial Management

Advertisement

Comments are closed.