CMS Issues Hospital Value-Based Purchasing Proposed Rule - January 12, 2011

On Jan. 7, 2011, the federal Centers for Medicare & Medicaid Services (CMS) released a proposed rule to implement a Hospital Value-Based Purchasing (VBP) program, as required by the Patient Protection and Affordable Care Act. As statutorily mandated, Medicare base operating diagnosis-related group (DRG) payments would be reduced beginning fiscal year 2013 to fund incentive payments to hospitals achieving certain quality-based performance scores. The VBP program builds on quality measures already reported by hospitals under the Medicare Hospital Inpatient Quality Reporting Program (Hospital IQR Program). Comments on the rule are due March 8.
 
NAPH will be submitting comments on the proposed rule in the coming weeks and welcomes member feedback on the impact of the proposed rule. Details on what is included in the rule can be accessed here. If you have questions about the proposed rule, please contact Xiaoyi Huang at 202-585-0127.