The proposed cut is intended to offset the effect of coding changes in the classification of patients. CMS claims the coding changes have caused hospitals to receive increased reimbursement. The letter, however, argues that CMS has not considered the increased payments may be a result of the hospitals treating truly sicker patients, according to the report.
The Medicare Payment Advisory Commission projects a 5.9 percent negative margin for Medicare in hospitals for FY 2011.
Read the AHA News Now report on Medicare payment cuts to hospitals.
Read more Becker’s coverage on Medicare payment cuts to hospitals.
Proposed Medicare Cut for Next Year Undermines Hospitals’ Position Under Health Reform
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