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CMS Inpatient Payment Proposal Addresses “Charge Compression”

This article was originally published in The Gray Sheet

Executive Summary

CMS plans to take steps next year to improve the accuracy of its payments to hospitals for high-cost devices, though the agency does not promise as quick of a remedy as sought by manufacturers

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Cost-Center Controversy: CT, MRI Payments Down In Inpatient Rule

CMS’ decision to rely on data from individual CT and MRI cost centers, rather than from a general radiology line, is derided by imaging equipment makers who say it does not account for the flawed approach employed by some hospitals to report capital equipment costs. Meanwhile, device makers applaud the agency’s application of a specific cost line for implantable devices.

More Specific Device Cost Data May Inform Medicare Inpatient Payments In FY 2014

CMS says it is finally ready to start relying on a specific cost-report line that it created five years ago for implantable devices, as well as distinct lines for cardiac catheterizations, CT scans and MRIs established more recently, to calculate hospital inpatient payments. It’s a positive for implantables and a negative for advanced imaging payments.

More Specific Device Cost Data May Inform Medicare Inpatient Payments In FY 2014

CMS says it is finally ready to start relying on a specific cost-report line that it created five years ago for implantable devices, as well as distinct lines for cardiac catheterizations, CT scans and MRIs established more recently, to calculate hospital inpatient payments. It’s a positive for implantables and a negative for advanced imaging payments.

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