CMS announces new payment model for rural hospitals in Pennsylvania

The Centers for Medicare & Medicaid Services last week announced a new all-payer global budget model for rural critical access and acute-care hospitals in Pennsylvania. Under the Pennsylvania Rural Health Model, the state will prospectively set the all-payer global budget for each participating rural hospital, based primarily on historical net revenue for inpatient and outpatient hospital-based services from all participating payers. The seven-year model seeks to improve health care quality and access to care while reducing hospital expenditure growth. For more information, visit https://innovation.cms.gov/initiatives/pa-rural-health-model.