North Bay Business Journal

Monday, February 18, 2013, 6:00 am

What Medicare changes could mean to local hospitals

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    Value-Based Purchasing is a program started in January under Medicare that seeks to hold hospitals accountable for the care they provide.

    Hospitals adjust to ‘value-based’ Medicare

    Feb. 18, 2013

    Throughout the debate and the recent initial implementation steps of health care reform, medical experts and politicians alike have touted the shift away from the fee-for-service model to more coordinated care, leading to better outcomes and lowered spending. [read the story]

    Last year, Medicare rolled out penalties for hospitals that have too many returning patients within a month.

    The chart below shows the effect of the two programs combined. The adjustments do not apply to money Medicare pays hospitals for capital expenses, to teach residents or to treat large numbers of low-income patients, according to Kaiser Health News.

    Hospital Change in payment from Value-Based Change in payment
    based on re-admissions
    Total change per Medicare
    patient stay
    Sonoma County
    Kaiser Foundation Hospital–Santa Rosa 0.28% 0 0.28%
    Palm Drive Hospital 0.23% -0.26% -0.03%
    Petaluma Valley Hospital -0.03% 0 -0.03%
    Santa Rosa Memorial Hospital -0.30% 0 -0.30%
    Sonoma Valley Hospital  0.25% -0.02% -0.23%
    Sutter Medical Center of Santa Rosa -0.08% 0 -0.08%
    Healdsburg District Hospital n/a n/a n/a
    Napa County
    Queen of the Valley -0.06% 0 -0.06%
    St. Helena Hospital 0.24% -0.02% 0.22%
    Marin County
    Marin General Hospital -0.26% -0.01% -0.27%
    Novato Community Hospital (Sutter Health) 0.20% 0 0.20%

    Sources: Centers for Medicare & Medicaid Services, Kaiser Health News

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