CHA News Article

New Effort Launched to Reduce Nursing Facility Re-Hospitalizations

The Centers for Medicare & Medicaid Services has announced that it will test whether a new payment model for nursing facilities and practitioners will reduce avoidable hospitalizations, lower combined Medicare and Medicaid spending, and improve the quality of care received by nursing facility residents. The effort represents the second phase of an initiative that seeks to reduce avoidable hospitalizations among beneficiaries eligible for Medicare and/or Medicaid by providing new payments to practitioners for engaging in multidisciplinary care planning activities.

In addition, participating skilled-nursing facilities will receive payment to provide additional treatment for common medical conditions that often lead to avoidable hospitalizations. This new four-year payment phase of the initiative, slated to begin in fall 2016, will be implemented through cooperative agreements with six enhanced care and coordination providers located in Alabama, Nevada, Colorado,  Indiana, Missouri, New York and Pennsylvania.