CMS posts final Hospital VBP Program adjustment factors for FY 2016

Oct 26, 2015 - 03:25 PM

The Centers for Medicare & Medicaid Services today posted the final incentive payment adjustment factors for the fiscal year 2016 Hospital Value-Based Purchasing Program, which are being used to adjust base operating Medicare Severity Diagnosis-Related Group payments to eligible hospitals for discharges this year. As required by law, base operating MS-DRG payments to eligible inpatient prospective payment system hospitals are being reduced by 1.75% in FY 2016 to fund an estimated $1.5 billion in incentive payments for the VBP program. The actual VBP amount earned by each hospital depends on its Total Performance Score and incentive payment percentage. “The highest performing hospital in FY 2016 will receive a net change in payments of slightly more than 3% after 1.75% is withheld,” CMS said. “The worst performing hospital, receiving a Total Performance Score of 0, will see the maximum reduction of 1.75% and will not receive an incentive payment.” To view the final FY 2016 adjustment factors, see Table 16B at www.cms.gov.

Related News Articles

Headline
Blog shares insights from hospital leaders at AHA’s inaugural Rural Patient Safety Convening
Rural hospital leaders recently shared strategies and insights on improving safety culture, governance and care reliability at the AHA’s Rural Patient Safety…
Headline
FDA sends warning letter to Philips due to quality issues 
The Food and Drug Administration sent a warning letter to Philips last month due to quality violations found at three of its medical device facilities earlier…
Headline
KFF analysis highlights limited physician access in Medicare Advantage plans
A new report from KFF reveals that Medicare Advantage enrollees had access to just 48% of the physicians available to Traditional Medicare beneficiaries in…
Headline
AHA shares concerns, recommendations with CMS on WISeR model
The AHA Oct. 23 recommended changes to the Centers for Medicare & Medicaid Services’ Wasteful and Inappropriate Services Reduction model to address…
Headline
CMS releases guide on prior authorization submissions, determinations under WISeR model  
The Centers for Medicare & Medicaid Services has released an operational guide for Medicare-enrolled providers and suppliers on the Wasteful and…
Headline
OIG says MA, Medicaid managed care plans have limited, inaccurate behavioral health provider networks 
A report by the Department of Health and Human Services Office of the Inspector General found that many Medicare Advantage and Medicaid managed care plans…