tci Medicare Compliance & Reimbursement - 2004 Issue 6

Reimbursement: 2005 Provider Payment Forecast

What MedPAC has to say about the future of provider reimbursement.Hospitals will do well while home health agencies and nursing homes will get put out into the cold if Congress heeds the latest recommendations from the Medicare Payment Advisory Commission.  With hospitals' overall Medicare margin projected to fall to 1.8 percent in 2004, even with the payment increases in the new Medicare law, MedPAC voted Jan. 15 to recommend full market-basket updates for hospitals in 2005 under the inpatient and outpatient prospective payment systems. The commission's nonbinding recommendations will be included in its March report to...

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