Healthcare Financial Management articles from September 2003

Healthcare Financial Management archives from September 2003

CMS provides full inpatient PPS market basket update, but for how long?(Policy Watch)(Medicare inpatient PPS payments for 2004 will be increased by the full hospital market basket, or 3.4%)(Brief Article)
September 1, 2003... Medicare inpatient PPS payments for FY04 will be increased by the full hospital market basket, or 3.4 percent, the payment update required by current law, according to the final rule published in the August 1 Federal Register. The rule...

CMS proposes outpatient payment changes.(Centers for Medicare and Medicaid Services)(Brief Article)
September 1, 2003... Medicare payments for outpatient services would increase by 3.8 percent in CY04 under the proposed outpatient PPS rule released by CMS on August 6. The proposed rule includes the following provisions: * The conversion factor for 2004 of...

Proposed Medicare physician fees drop 4.2 percent in 2004.(Policy Watch)(Brief Article)
September 1, 2003... Medicare physician fees would be cut by 4.2 percent under a proposed rule released August 8. The negative change is attributed to slow growth in the economy and to significant growth in physician outlays in 2002. Even with the reduction, CMS...

... CMS has reissued a 2002 program memorandum (PM A-02-060) revising the billing requirements for swing-bed services under the skilled nursing facility (SNF) PPS.(US Centers for Medicare and Medicaid Services)(Brief Article)
September 1, 2003... ... CMS has reissued a 2002 program memorandum (PM A-02-060) revising the billing requirements for swing-bed services under the skilled nursing facility (SNF) PPS. According to the revised PM (PM A-03-052), 13x is the correct type of bill to be...

... Release of a new edition of Government Auditing Standards, commonly referred to as the Yellow Book, was announced by the GAO June 25.(Brief Article)
September 1, 2003... ... Release of a new edition of Government Auditing Standards, commonly referred to as the Yellow Book, was announced by the GAO June 25. This edition supersedes the 1994 revision. Changes include redefinition of the types of audits and...

Prescription drug legislation: implications for providers.(Policy Watch)(a discussion of the proposed 'Prescription Drug and Medicare Improvement Act of 2003')
September 1, 2003... The "Prescription Drug and Medicare Improvement Act of 2003" promises to have a profound effect on healthcare providers, although the media coverage has focused almost exclusively on the bill's drug-benefit provisions. More than half of...

... CMS has published the third quarterly update for CY03 to the list of HCPCS codes subject to consolidated billing under the home health PPS in a July 3 program memorandum (PH AB-03-096).(Brief Article)
September 1, 2003... ... CMS has published the third quarterly update for CY03 to the list of HCPCS codes subject to consolidated billing under the home health PPS in a July 3 program memorandum (PH AB-03-096). The update includes the addition of three nonroutine...

... CMS published in the July 25 Federal Register a final rule that removes section 411.54(c)(2) and a portion of section 489.20 (g) from the Medicare secondary payer regulations.(Brief Article)
September 1, 2003... ... CMS published in the July 25 Federal Register a final rule that removes section 411.54(c)(2) and a portion of section 489.20 (g) from the Medicare secondary payer regulations. The removed sections barred providers from filing claims against...

CMS issues instructions on Medicare secondary payer claims.(Policy Watch)(the CMS revises its carrier instructions for how electronic Medicare secondary payer claims should be handled)(Brief Article)
September 1, 2003... CMS has revised its carrier instructions on how electronic Medicare secondary payer (MSP) claims should be processed. In a February 3, 2003, program memorandum (PM B-03-050), CMS had instructed physicians and suppliers to submit electronic MSP...

SNF PPS update for FY04 released.(payments to skilled nursing facilities)(Brief Article)
September 1, 2003... The FY04 payment rates for the skilled nursing facility (SNF) PPS will reflect an update equal to the full SNF market basket of 3.0 percent, along with an additional 3.26 percent adjustment for the cumulative forecast errors since the start of...

States' budget crises define healthcare resources: in the face of gaping budget deficits, state lawmakers have begun cutting programs in earnest, including higher education, social services, and health care.(State Policy Watch)
September 1, 2003... These actions are in response to an aggregate budget shortfall in FY04 of $784 billion--more than 10 percent of state spending. During the past two fiscal years, the states' cumulative short--fall exceeds $160 billion. State lawmakers'...

With HFMA, you've got friends: James Taylor recorded the hit song "You've Got a Friend" a few years before I joined HFMA. But that song could apply to HFMA today.(From The Chairman)(Bill Matheney discuess the importance of his HFMA friendships)(Column)
September 1, 2003... Just ask Bill Matheney, FHFMA, CPA, director of Blevins, Matheney & Stees in Chattanooga and a 15-year HFMA member who is past president of HFMA's Tennessee Chapter. The importance of his HFMA friendships was really brought home to him the...

Fitch sees negative financial outlook for health care; CMS sees mixed outlook.(Industry Watch)(Brief Article)
September 1, 2003... Hospitals and health systems saw stable operating performance in 2002, but liquidity and debt-service-coverage ratios declined and capital needs increased, according to a Fitch Ratings report released in early August. The 2002 operating...

JCAHO changes criteria for 2004 random unannounced survey.( Joint Commission on Accreditation of Healthcare Organizations )(Brief Article)
September 1, 2003... The Joint Commission on Accreditation of Healthcare Organizations (JCAHO) announced it would revise the fixed and variable performance areas evaluated during random unannounced surveys. Previously, JCAHO's unannounced visits have been designed...

GAO identifies causes of rising malpractice insurance costs.(Industry Watch)(Brief Article)
September 1, 2003... A GAO report asserts that falling investment income and rising reinsurance costs are among the factors contributing to recent increases in medical malpractice insurance premium rates. The GAO looked at the extent of the increases in medical...

HMO rate increases for 2004 hit 18 percent.(Industry Watch)(Brief Article)
September 1, 2003... Initial 2004 HMO rate increases are averaging roughly 18 percent, according to data from Hewitt Associates. Hewitt notes, however, that the data suggest rate hikes may be starting to level off, as organizations across the country are beginning...

Cordis Corporation issues statement on CYPHER stent.(Industry Watch)(Cordis reveals is a potential risk of thrombosis occurring with the use of the Cordis CYPHER Sirolimus-Eluting Coronary Stent)(Brief Article)
September 1, 2003... In a July 7 letter to healthcare professionals, the Cordis Corporation revealed there is a potential risk of thrombosis occurring with the use of the Cordis CYPHER Sirolimus-Eluting Coronary Stent. In April 2003, the stent was approved for...

BLS reports health services compensation gain.(Bureau of Labor Statistics )(Brief Article)
September 1, 2003... Total compensation for health services rose 0.7 percent in the second quarter of 2003, following a 1.2 percent gain in the first quarter of the year, the Bureau of Labor Statistics reported on July 31. Compensation for hospitals increased 0.5...

Blue Cross and Blue Shield system's antifraud efforts save $157 million.(Industry Watch)(Brief Article)
September 1, 2003... Blue Cross and Blue Shield Plans saved nearly $157 million in 2002 through aggressive healthcare fraud investigations aided by the use of specialized antifraud computer software, enhanced private-public partnerships, and meticulous prepayment...

12-month percentage change in total compensation for health services.(Industry Watch)(Brief Article)
September 1, 2003... BLS data indicate that for the year ending July 2003, total compensation for health services provided in the United States grew by 3.6 percent. [ILLUSTRATION OMITTED]

GAO: CMS oversight of state nursing home surveys process needs improvement.(Industry Watch)(Brief Article)
September 1, 2003... The number of nursing homes with serious quality deficiencies remains alarmingly high, despite reports of a decline in such problems, according to a GAO report. From July 2000 through January 2002, the percentage of nursing homes cited for...

Quotes of note.(Industry Watch)
September 1, 2003... "Many of the people on the other side of the aisle, and perhaps a handful on our side, believe that health care should not be an entitlement; that the free marketplace should be able to work its will; that government should not be involved in...

NCQA releases 2004 HEDIS measures.(National Committee for Quality Assurance Health Plan Employer Data and Information Set )(Brief Article)
September 1, 2003... On July 1, the National Committee for Quality Assurance (NCQA) released final specifications for the 2004 edition of the Health Plan Employer Data and Information Set (HEDIS). Because the HEDIS measures play an important role in determining...

2002-03 hfm award winners announced.(HFMA News)
September 1, 2003... Each year, hfm recognizes authors who have demonstrated outstanding editorial achievement. Winners are selected by a panel of four leaders in the healthcare industry based on the writer's demonstration of technical quality, writing skill, and...

Gustafson, Rode receive PFS Award.(HFMA News)(Bobette M. Gustafson and Dark Rode are winners of HFMA's 2003-04 PFS Forum Individual Achievement Award)
September 1, 2003... Bobette M. Gustafson and Dark Rode, FHFMA, are recipients of HFMA's 2003-04 PFS Forum Individual Achievement Award. The award recognizes HFMA members who have made outstanding individual contributions to patient financial services as a result...

HFMA offers legislative reports.(Health Financial Management Association)(Brief Article)
September 1, 2003... The HFMA Resource Center has released two new technical documents. Medical Malpractice Tort Reform, which provides a brief summary of the legislative status on medical malpractice tort reform. www.hfma.org/cfoforum/ 03_03_2003.htm ...

Plan-Provider Claims Workgroup provides claims tools.(HFMA News)(Brief Article)
September 1, 2003... The Plan-Provider Claims Workgroup, which was established to identify ways health plans and providers can decrease errors related to eligibility issues and duplicate claims, has released the following three tools to help providers improve...

HFMA and Craneware partner to reduce Chargemaster errors.(cobranding the Active Chargemaster Professional Toolkit)(Brief Article)
September 1, 2003... HFMA and Craneware are cobranding the Active Chargemaster Professional Toolkit, a software application that identifies missing charges and out-dated or incorrect CPT codes on charge description masters (CDMs). It is estimated that 70...

Malpractice reform is dead; long live malpractice reform: President Bush's plan to revamp the nation's medical malpractice system looked like a slam-dunk at the beginning of this year. But on July 9, a Senate malpractice-reform bill failed to achieve filibuster-proof support.(Eye on Washington)
September 1, 2003... The Senate bill, similar to one the House passed in March, would have limited awards for pain and suffering to $250,000. By a largely party-line vote of 49-48, the bill fell 11 votes short of the 60 required to break a Democratic filibuster....

Life after bankruptcy: a CFO's role in a hospital's renewal: dark clouds were on the horizon for Henry Mayo Newhall Memorial Hospital in Valencia, Calif., after it filed for Chapter 11 bankruptcy protection in late 2001. The hospital was $10 million in debt and had no cash on hand.(Executive Insights)
September 1, 2003... Some creditors had proposed selling the hospital at "fire-sale" prices. In an interview with hfm, C.R. "Bob" Hudson, senior vice president and CFO of Henry Mayo, discussed how new management improved the financial standing of the hospital...

Can your hospital remain independent?(Business)
September 1, 2003... Your hospital is finding it increasingly difficult to attract and retain qualified physicians. The hospital's facilities are in need of significant renovation or replacement. Competition for patients in your market has stepped up. At the same...

On the road to consumer-driven health care.(Patient Financial Services)
September 1, 2003... What will it mean for your patient financial services (PFS) department when patients start making their own decisions regarding their coverage? What advice will your PFS professionals have for a patient who is confused about his or her coverage...

Times change, and so do managed care strategies.(Managed Care)
September 1, 2003... Gateway Health System, formerly known as Clarksville Memorial Hospital, is the sole acute care medical facility in Clarksville, Tenn. The town is located in Montgomery County, which has a population of about 135,000. In addition to numerous...

OIG targets contractual joint ventures.(Medicare/Medicaid)(Department of Health and Human Services Office of Inspector General)
September 1, 2003... Do you participate in a contractual joint venture? Or do you conduct business through a wholly owned subsidiary? Then it's important to be aware of recent guidance from the HHS Office of Inspector General (OIG) about joint contractual...

The revenue cycle from the patient's perspective: improve your revenue cycle by tailoring patient financial communications to meet patient needs.
September 1, 2003... A patient visits a provider, is asked for and pays her copayment, and receives medical treatment. Six weeks later, she receives notification from both the payer and the provider that her account has been paid and no further amount is due. ...

Who is entitled to what? In an era of monumental medical advances and dwindling resources, how can we most judiciously deliver healthcare services?(Commentary)
September 1, 2003... As we move forward in the 21st century, healthcare issues dominate. We are seeing medical advances that were unheard of in the early 1900s. Organ transplants, for one, have become almost commonplace. Meanwhile, Financing health care has become...

How have hospital investments navigated troubled waters? Poor returns on equity investments and declining hospital payments underscore the need for hospitals to establish appropriate investment policies and asset allocations.(Feature Story)
September 1, 2003... During the stock market's glory days in the 1990s, investors eagerly filled their investment portfolios with equities. Some experts in the late 1990s warned that the stock-market boom could not last and that the market would have to correct...

Stem revenue losses with effective CDM management: a well-managed charge description master is the first line of defense against denied claims.(Feature Story)(charge description master)
September 1, 2003... Are coding errors common in your organization? If they are, you could be losing a lot of money--more than you might think. Identifying, correcting, and documenting a single coding error can consume as much as 30 to 60 minutes of your staff...

When putting patients first fits the bill: one hospital shows how a change in billing format can reduce costs and improve patient satisfaction.(Feature Story)
September 1, 2003... Rene Siegel dreaded trips to her mailbox. Her aging father required hospitalization on an annual basis at Cedars-Sinai Medical Center in Los Angeles. And while the clinical outcomes were generally positive, the same could not be said of the...

What's wrong with being "borderline ethical"? Everyone would agree that lying, cheating, stealing, or creating dangerous working conditions just to increase profits are unethical business practices.(Leadership and Management)
September 1, 2003... Examples abound in the news today of business leaders that have been charged, and sometimes convicted, of such practices, to their shame and the general condemnation of the public. But what about business practices such as cutting prices...

When IT excellence goes the distance: ever complete an IT project only to wonder how you'll possibly make it through the next? It's no surprise. Many organizations find sustaining IT excellence to be a significant challenge.(Digital Perspectives)
September 1, 2003... To provide insight into the operations of organizations able to achieve very high levels of IT-enabled value over the course of many years, it's useful to examine industry studies. Four studies of particular interest examined processes at...

Taxpayers save in 2003: last November, after Republicans won control of the Senate and retained control of the House, President Bush announced he would propose an economic stimulus package early in 2003.(Personal Finance)
September 1, 2003... That announcement materialized earlier this year in the form of a proposed plan containing $726 billion in individual and business tax cuts over 10 years. But to make the plan a reality, the president needed to solidify support from both...

Calendar.(Calendar)
September 1, 2003... CALENDAR Level Seminar 10/27-30 Atlanta Financial Management/Reimbursement 2 Using Activity-Based...

IDX Systems Corporation.(Ms. Whitbeck named senior project manager)(Brief Article)
September 1, 2003... Ms. Whitbeck has been promoted from lead implementation consultant to senior project manager, IDX Systems Corporation, Seattle.

Plante & Moran, PLLC.(People)(Brief Article)
September 1, 2003... Mr. Weekley has been promoted from senior manager to partner, Plante & Moran, PLLC, Dublin, Ohio.

PMAB, Inc.(People)(Brief Article)
September 1, 2003... Mr, Coffey has joined PMAB, Inc., Charlotte, N.C., as COO and co-owner. Previously, he was vice president, physician central business office, Carolinas Healthcare System, Charlotte.

Account Resolution Corporation.(People)(Brief Article)
September 1, 2003... Mr. Hill, has formed Account Resolution Corporation, Chesterfield, Mo., and serves as its president. Previously, he was vice president, finance and administration, MCS Receivables Management, Florissant, Mo.

Catholic Health Initiatives.(People)(Brief Article)
September 1, 2003... Ms. Cooper has been named vice president, corporate responsibility officer, Catholic Health Initiatives, Denver. Previously, she was vice president, corporate compliance, Centura Health, Denver.

Fairfield Memorial Hospital.(People)(Brief Article)
September 1, 2003... Mr. Kline has joined Fairfield Memorial Hospital, Winnsboro, S.C., as CFO. Previously, he was controller, Palmetto Health Alliance, Columbia, S.C.

St. Rose Dominican Hospital.(Mr. Sutherland has been named director of financial services/controller)(Brief Article)
September 1, 2003... Mr. Sutherland has been named director of financial services/controller, St. Rose Dominican Hospital (CHW), Henderson, Nev. He had been accounting manager, Sunrise Hospital and Medical Center, Las Vegas.

Great-West Healthcare.(Mr. Livingston has been appointed assistant vice president of policy & implementation)(Brief Article)
September 1, 2003... Mr. Livingston has been appointed assistant vice president of policy & implementation, Great-West Healthcare, Greenwood Village, Colo. Formerly, he was director, medical economics, M-CARE, Ann Arbor, Mich.

Chapin Revenue Cycle Management.(Mr. Werner named as director of business development)(Brief Article)
September 1, 2003... Mr. Werner has joined Chapin Revenue Cycle Management, Tampa, Fla., as director of business development. Previously, he was regional account manager, AHC, Healthcare Receivables Management, Boca Raton, Fla.

St. Luke's Physician Group.(Mr. Berzinsky named associate vice president of finance)(Brief Article)
September 1, 2003... Mr. Berzinsky has accepted a position as associate vice president of finance, St. Luke's Physician Group, Bethlehem, Pa. He had been CFO, Conemaugh Health Initiatives, Inc., Johnstown, Pa.

Gerald Champion Regional Medical Center.(Mr. Childers has been appointed CFO)(Brief Article)
September 1, 2003... Mr. Childers has been appointed CFO, Gerald Champion Regional Medical Center, Alamogordo, N.M. Formerly, he was vice president, GMC/clinical service lines, Geisinger Health System, Danville, Pa.

Adventist Healthcare, Inc.(Mr. Chan has been appointed vice president, financial services)(Brief Article)
September 1, 2003... Mr. Chan has been appointed vice president, financial services, Adventist Healthcare, Inc., Rockville, Md. He had been corporate vice president of finance and CFO, Ingalls Health System, Harvey, Ill.

Measuring the cost benefits of family-centered care.(Data Trends)
September 1, 2003... Family-centered care is an approach commonly used in long-term care and hospice settings in which living accommodations are provided for a spouse, adult child, or other family member during a patient's inpatient stay. The high costs of this...

Not so different: although the UK and the U.S. are separated by a common language that often is quite different, the issues faced by finance managers on both sides of the pond are quite similar.(From The President)
September 1, 2003... In late July, the 23rd annual exchange of healthcare financial managers was held in Belfast, Northern Ireland. This exchange between members of HFMA in the United Kingdom and here in the U.S. provides members an opportunity to gain a broader,...