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Advising the Congress on Medicare issues
MedPAC > Recommendations > Financial performance and inpatient payment issues for PPS hospitals (C)

Financial performance and inpatient payment issues for PPS hospitals (C)

March 1, 2001

Although the Benefits Improvement and Protection Act of 2000 improved the equity of the hospital disproportionate share adjustment, Congress still needs to reform this adjustment by:
* Including the costs of all poor patients in calculating low-income shares used to distribute disproportionate share payments, and
* Using the same formula to distribute payments to all hospitals covered by prospective payment.

Topics: Hospital.