tci Medicare Compliance & Reimbursement - 2004 Issue 42

Hospice: Hospice Pay May Shrink

The good news is, for the first time since 1983, the payment methodology and rates for hospice have finally been evaluated. The bad news is, the feds think you're being overpaid.According to the Government Accountability Office, the per diem payment rate for all hospice care was about 8 percent higher than the estimated average per diem cost of actually providing care in 2000, and more than 10 percent higher in 2001.Translation: Current pay "may not reflect current patterns of care," according to the report.As an example, the GAO cites nursing care costs provided during routine...

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