Healthcare Financial Management articles from December 2003

Healthcare Financial Management archives from December 2003

Outpatient PPS payments to increase 4.5 percent.(Policy Watch)(prospective payment systems)(Brief Article)
December 1, 2003... CMS will increase aggregate Medicare payments to hospital outpatient departments by 4-5 percent in 2004, according to a final rule issued October 31. This increase is an improvement on the 3.7 percent increase for 2003. The change does not...

New office of HIPAA Standards posts complaint form.(Policy Watch)(Health Insurance Portability and Accountability Act of 1996)(Brief Article)
December 1, 2003... The newly created CMS Office of HIPAA Standards (OHS) has posted a form and instructions to submit written complaints regarding the HIPAA transactions and code sets rule that went into effect on October 16. In its instructions, OHS "strongly...

Final rule cuts medicare physician fees by 4.5 percent for 2004.(Policy Watch)(Centers for Medicare and Medicaid Services)(Brief Article)
December 1, 2003... Physicians face a 4.5 percent Medicare fee reduction for 2004, according to a Final rule CMS announced October 30. The reduction is greater than was indicated in the proposed rule (4.2 percent), but CMS had cautioned at that time that the final...

2003 copayment calculations led to inaccurate payments.(Policy Watch; General Accounting Office report on copayments under Medicare)(Brief Article)
December 1, 2003... The method used in calculating 2003 copayments under the Medicare outpatient (PPS) resulted in inaccurate payments for 75 APCs, according to an October 6 report that the Government Accounting Office (GAO) submitted to CMS administrator Tom...

Accounting for revenue recognition a top priority for FASB.(Policy Watch)(Financial Accounting Standards Board)(Brief Article)
December 1, 2003... Revenue recognition is one of the five most important issues that the Financial Accounting Standards Board (FASB) should address, according to a recent survey of the Financial Accounting Standards Advisory Council (FASAC). Revenue-recognition...

Healthcare fraud program boasts record returns to government.(Policy Watch)(Health Care Fraud and Abuse Control Program )(Brief Article)
December 1, 2003... The national Health Care Fraud and Abuse Control Program (HCFAC), established as part of HIPAA, has reported that its FY02 returns to the government are the largest since the program's inception, The federal government won or negotiated...

... Corrections to the medicare hospital wage index for FY04 were published in the October 6 Federal Register.(Correction Notice)
December 1, 2003... ... Corrections to the Medicare hospital wage index for FY04 were published in the October 6 Federal Register. The rule also changed the standardized rates for Large Urban and Other Areas. However, with the passage of H.R. 3146 continuing the...

... HHS has announced the Medicare premium, deductible, and coinsurance amounts to be paid by Medicare beneficiaries in 2004.(Department of Health and Human Services)(Brief Article)
December 1, 2003... ... HHS has announced the Medicare premium, deductible, and coinsurance amounts to be paid by Medicare beneficiaries in 2004. The Part B premium goes up 13.5 percent to $66.60 (the amount needed to cover 25 percent of estimated program costs...

... The standard mileage rate for businesses to use in deducting automobile costs will increase to 37.5 cents in 2004, up from 36 cents in 2003, according to the IRS.(Brief Article)
December 1, 2003... ... The standard mileage rate for businesses to use in deducting automobile costs will increase to 37.5 cents in 2004, up from 36 cents in 2003, according to the IRS. The IRS also announced other amounts for various deductible costs when using...

GAO denounces direct payment for laboratory services.(Policy Watch)(General Accounting Office)(Brief Article)
December 1, 2003... Allowing hospitals to outsource technical pathology services and requiring laboratories to seek payment from Medicare eliminates the incentive to provide these services efficiently, and will lead to overpayment, according to recent GAO report....

E&M coding still 2004 OIG target.(Policy Watch)(Evaluation and Management)(Office of Inspector General)(Brief Article)
December 1, 2003... Evaluation and management (E&M) coding, billing for consultations, and pricing for physician-prescribed drugs are among the areas of focus for the HHS Office of Inspector General (OIG) in 2004. According to the OIG, the 2004 work plan will...

States seek affordable health insurance solutions.(State Policy Watch)
December 1, 2003... With the most recent U.S. Census numbers demonstrating an increase in the number of uninsured and latest reports showing health insurance premiums will increase at double-digit rates for the third consecutive year, state legislators continue to...

Cruising along with HFMA.(From The Chairman)(Healthcare Financial Management Association)
December 1, 2003... I've made many friends through HFMA over the years. As a matter of fact, because of my involvement in the organization, most of my friends are members of HFMA, and I've known many of them for a long time. ********** And I know I'm not...

Hospitals face growing struggle to access capital.(Industry Watch)
December 1, 2003... Facing rising demand, aging facilities, and other drivers of capital spending, many hospitals may not have access to the capital they need to renovate and expand their facilities for the future, according to a new report from HFMA in...

Banking industry offers help on claims payment process.(Industry Watch)(Brief Article)
December 1, 2003... According to a recent article in Crain's Chicago Business newspaper, Chicago-based Bank One is offering a suite of automated services to help physicians and hospitals collect payments from insurers that cover most patients. According to the...

Physician groups face rising operating costs.(Industry Watch)(Brief Article)
December 1, 2003... Operating costs for multispecialty medical group practices increased by 7.47 percent in 2002, while total Medicare revenue only increased by 5.67 percent, according to a 2003 cost survey report by the Medical Group Management Association...

Insured Americans drive surge in hospital ED visits.(Industry Watch)(emergency department)(Brief Article)
December 1, 2003... Contrary to the belief that uninsured Americans drive emergency department (ED) crowding, insured Americans accounted for most of the 16 percent rise in hospital ED visits between 1996-97 and 2000-01, according to a study released October 23 by...

One-fourth of uninsured work in large firms or are their dependents.(Industry Watch)(Brief Article)
December 1, 2003... The number of uninsured workers in large firms is up sharply, signaling new trends among businesses that traditionally are the most likely to offer health benefits, according to a report from The Commonwealth Fund released October 21. As of...

Report urges improvements in nurses' working environments.(Industry Watch)(Brief Article)
December 1, 2003... The working environment of nurses must be transformed substantially to reduce medical errors and increase patient safety, according to a new report released by the Institute of Medicine of the National Academies. The report stresses the need...

Community-based care interest results in new advocacy group.(Industry Watch)(Alliance for Advancing Nonprofit Healthcare)(Brief Article)
December 1, 2003... A new, expanded group of not-for-profit institutions has formed The Alliance for Advancing Nonprofit Healthcare. The group offers one voice to advocate the important role of not-for-profit health care. The Alliance for Advancing Nonprofit...

Percentage of diagnosed AIDS cases by sex and race, united states.(Industry Watch)(Illustration)
December 1, 2003... Total Cases 1985 8,159 1990 41,448 1995 70,412 1999 44,580 2000 40,282 2001 41,450 2002 42,745 Source: DGA Partners analysis of data from Health, United States, 2003, National Center...

Medicare beneficiaries don't get full range of preventive services.(Industry Watch)(Brief Article)
December 1, 2003... Most Medicare beneficiaries do not receive the full range of recommended preventive services available, although they typically visit a physician several times per year, according to a report released by the U.S. General Accounting Office...

Quotes of note.
December 1, 2003... "The reductions were mandated by law." --CMS administrator Tom Scully, announcing the next round of Medicare physician payment cuts mandated by the 1997 Balanced Budget Act. "We're not trying to stir the pot on any of this. All we...

Healthcare employment costs rise 1 percent; benefit costs grow at twice the rate of wages.(Industry Watch)(Brief Article)
December 1, 2003... Total compensation for health services rose 1.0 percent in the third quarter of 2003, the Bureau of Labor Statistics (BLS) reported October 30, and healthcare worker compensation or the 12 months ending September 2003 grew by 3.8 percent....

Chapter surveys to arrive in January.(HFMA News)
December 1, 2003... HFMA National will be sending a satisfaction survey via e-mail to members of more than 60 of the Association's 70 chapters in January. The survey, which is designed to provide HFMA and chapter leadership with market information and analysis to...

Region V hosts Dixie Institute.(HFMA News)(Region V)(Dixie Institute)(Brief Article)
December 1, 2003... HFMA's Region V will hold its Dixie Institute conference February 18-20, in Mobile, Ala. The event is geared to CFOs, vice presidents of finance, business office managers, and other healthcare administrative and financial leaders. Retired...

A brave new world of health care: the ghosts of the Balanced Budget Act (BBA) of 1997 continue to haunt the healthcare provider community.(Eye On Washington)
December 1, 2003... The BBA was supposed to provide a modest schedule for cutting Medicare payments to providers of all kinds. Back in 1997, the Congressional Budget Office (CBO) predicted the act would reduce by $115 billion the payment providers would otherwise...

Taking steps toward long-term viability.(Executive Insights)(West Suburban Hospital)
December 1, 2003... Charles R. (Chuck) Brobst faced a plethora of financial challenges when he became senior vice president and CFO of West Suburban Hospital, Oak Park, Ill., in 2001. Even after Brobst helped to improve West Suburban's bottom line, the...

HIPAA copy charges for medical records.(Business)(Health Insurance Portability and Accountability Act of 1996)
December 1, 2003... When patients request a copy of their medical record, how much do you charge? And how do you itemize that expense? Do you have clear-cut policies about how to charge? An often overlooked element in the HIPAA Standards for Privacy of...

Recovering real money with a contract management system.(Managed Care)
December 1, 2003... These days most people won't stop to pick up a penny from the sidewalk. After all, one cent won't even buy a gumball anymore. But what about the pennies that aren't being "picked up" by the average hospital? With budgets in the millions of...

The collector inspector self-pay trends necessitate more effective RFPs.(Revenue Cycle)(request for proposals)
December 1, 2003... Self-pay balances continue to increase and change in nature, posing new challenges for patient financial services (PFS) professionals. Yet growth in the more traditional uninsured, indigent population, contrary to what one might expect, is not...

Payment trends achieving stability amid uncertainty: preparing for future payment policies and practices will require a balancing act involving a broad range of revenue-enhancing strategies.(Cover Story)
December 1, 2003... Hospital executives believe that poor payment is the primary obstacle facing hospitals today, according to a recent Cap Gemini/Ernst & Young report. (a) As executives strive to improve the financial standing of their organizations, many wonder...

What's it worth? Cost shifting, a practice that can often result in significant financial burden on self-pay patients, is leading to greater scrutiny of hospital charging practices.(Feature Story)
December 1, 2003... After raising a family and working 30 year's in the same jobs, the Browns decided to retire at age 60 while still in good health. The couple earned modest pensions and had saved some money. Healthcare benefits were of no concern to the two...

Dedicating the right resources to denials management: full-time physician attention helped reduce one health system's denied claims and length of stay.(Feature Story)
December 1, 2003... In early 2000, Conshohocken, Pa.-based Mercy Health System decided to carefully evaluate the rate at which its managed payers were denying payment of claims. Mercy's leaders learned that the organization was experiencing a denial and downgrade...

Strategic service-line planning building competitive advantage: senior financial executives play a critical role in developing an organization's service-line plans.(Feature Story)
December 1, 2003... Rising costs and increasing competition are forcing healthcare organizations to look for ways to increase market share. One solution is to develop and position the services they offer through service-line planning--the development of a business...

Strong leadership can help avoid nightmares: "hospital overstated revenue: hospital group discovered, corrected $30.7 million error".(Leadership And Management)
December 1, 2003... Healthcare financial executives have nightmares about headlines like the one above. This headline appeared in the Washington Post business section in May 2003. For the first time, not-for-profit healthcare organizations came under the same kind...

Financially savvy system implementation: tips you need to know.(Digital Perspectives)(hospital information system)
December 1, 2003... A new hospital information system (HIS) is often the single largest purchase a hospital ever makes, outside of a new building. Unfortunately, even though the cost of computers has been dropping over the past few years, the cost of installing...

Calendar.(Calendar)
December 1, 2003... Level Seminar 12/8-11 Chicago Financial Management/Reimbursement 1 Fundamentals of Healthcare Financial Management 12/8-9...

QUE Financial.(People)(Jere Burch)(Brief Article)
December 1, 2003... Ms. Burch has joined QUE Financial, Boise, Idaho, as director of operations and client services. Formerly, she was vice president, customer service, DIRECTV. Inc., Boise.

Crisp, Hughes, Evans, LLP.(People)
December 1, 2003... Ms. Dunn has been promoted from senior audit manager to partner, Crisp, Hughes, Evans, LLP. Greenville, S.C.

Horizon Health Corporation.(People)
December 1, 2003... Mr. Scruggs has been promoted from manager of financial analysis to director, financial analysis and management information, Horizon Health Corporation, Lewisville, Tex.

The enVision Group.(People)
December 1, 2003... Mr. Sheriffs has been named consultant, The enVision Group, Naples, Fla. He had been associate, PricewaterhouseCoopers, LLP, Hartford, Conn.

Plaza Medical Center.(People)
December 1, 2003... Mr. Gordon has been appointed CFO, Plaza Medical Center, Fort Worth, Tex. He had been CFO. Green Oaks Hospital, Dallas.

CSI Financial Services.(People)
December 1, 2003... Ms. Baker has been named regional marketing director, CSI Financial Services, Las Vegas. Formerly, she was executive vice president of operations, MRI International. Inc.. Las Vegas.

First Consulting Group.(People)
December 1, 2003... Ms. Swan has joined First Consulting Group, Chicago, as senior consultant. Previously, she was senior associate. PricewaterhouseCoopers, Indianapolis.

United Audit Services, Inc.(People)
December 1, 2003... Ms. Baril has been appointed vice president, HIM and software services. United Audit Services, Inc., Cincinnati. Formerly, she was regional director, Pyramid HIM & Coding Services, The HealthCare Financial Group, Aurora, Colo.

Phoenix Rising Healthcare Strategies, LLC.(People)
December 1, 2003... Ms. Aronson has been named principal, Phoenix Rising Healthcare Strategies, LLC, Bay Village, Ohio. Previously, she was assistant CFO and compliance officer, Parma Community General Hospital, Cleveland.

Wayne State University School of Medicine.(People)
December 1, 2003... Mr. Kolozsvary has been appointed administrator, department of otolaryngology, head and neck surgery, Wayne State University School of Medicine, Detroit. Previously, he was director, ambulatory care, POH Medical Center, Pontiac, Mich.

Merrill Lynch Capital Healthcare Finance.(People)
December 1, 2003... Mr. Moore has been named director, asset based lending, Merrill Lynch Capital Healthcare Finance, Washington, D.C. He had been senior vice president, core asset based lending, GE Healthcare Financial Services, Bethesda. Md.

Penn State Milton S. Hershey Medical Center.(People)
December 1, 2003... Mr. Phillips has been promoted from financial liaison to assistant director or patient financial services, Penn State Milton S. Hershey Medical Center, Hershey, Penn.

Pay for performance: applying lessons learned from medical groups.(Data Trends)
December 1, 2003... This past summer, CMS announced that it would undertake a pilot project to evaluate rewarding hospitals for superior ratings on quality indictors. CMS administrator Tom Scully has criticized the current system for paying every healthcare...

Constant coverage of charging and collection concerns: on October 30, the Wall Street Journal ran a front-page article titled "Medical Seizures: Hospital Try Extreme Measures to Collect their Overdue Debts." Unfortunately, focusing on how hospitals collect payment misses the core problem.(From The President)
December 1, 2003... On October 30, the Wall Street Journal ran a front-page article titled "Medical Seizures: Hospitals Try Extreme Measures to Collect their Overdue Debts." Unfortunately, focusing on how hospitals collect payment misses the core problem. ...