Setting of Medicare Payments
Tuesday, August 4th, 2009
pic PBS Hawaii.org
The rate by Medicare is about 2-3 years behind current costs and always will be. The collection of data on the true costs of procedures is time consuming. The way to resolve the complaint about the rate is that the rate should be retroactive for the dates the rate represents. If the rate comes in higher any procedure paid below the new rate effective for the dates of service should require an additional payment to the organization for the differential.
In addition, the Veteran Hospital system and the Armed Forces Medical system both provide most if not all services. The cost each system incurs for the services is a second level of data collection of a public run hospital system which can be used for comparision of results and costs.
There is not a creative science behind setting rates, just the facts!! True costs built on reasonable budgeting.
There is no need to create a new system.








