June 9, 2015. 60 Seconds with Steve Monroe.
A new study appeared that seems to indicate patient discharges are influenced by the timing of Medicare reimbursement…
Yesterday, The Wall Street Journal came out with a story on how it appears that patient discharges at long-term acute care hospitals (LTACs) have been timed to reimbursement payments. Specifically, to maximize those payments. The story was based on a study that appeared in the journal Health Affairs and had been reported on previously. Apparently, what the authors of the study noticed is that when the reimbursement methodology changed, between 2005 and 2010 for full implementation, there was a significant spike in the timing of discharges compared with in 2002 before the changes had been made. When a patient hits a certain threshold, the provider payment jumps sharply, with the funds expected to cover the full course of treatment. With this methodology, there was a sharp increase in discharges after the threshold, and after the large lump sum payment was made. 25% of patients were discharged during the three days after the threshold, which was five times the number discharged three days prior to the threshold. Really? Come on guys, in these times of increased scrutiny of Medicare payments to post-acute providers, this is the last thing the sector needs.
