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Advising the Congress on Medicare issues
MedPAC > Recommendations

Commission Recommendations

MedPAC makes recommendations to the Congress and to the Secretary of Health and Human Services on issues affecting the administration of the Medicare program. With its recommendations, the Commission strives to improve the delivery of care, while ensuring financial stability and maximizing value for the program. After extensive analysis and evaluation, our recommendations are discussed and voted on by Commissioners in our public meetings. Recommendations are typically published in two main reports, released in March and June of each year.

Recommendations Topic(s) Date

Post-Acute Care Providers: Moving toward Prospective Payment (K)

The Congress should establish in law clear eligibility and coverage guidelines for home health services.

  • Beneficiaries and coverage
  • Post-acute care

March 1999

Post-Acute Care Providers: Moving toward Prospective Payment (L)

The Secretary should require home health agencies to use consistent, service-specific codes on all patient bills for services provided during home health visits.

  • Post-acute care

March 1999

Post-Acute Care Providers: Moving toward Prospective Payment (M)

The Congress should require independent assessments of need for beneficiaries receiving extensive home health services to ensure the appropriateness of such care. Beneficiaries receiving 60 or more home health visits should qualify for assessments. Assessors should confer with prescribing physicians to modify care plans as needed.

  • Post-acute care

March 1999

Post-Acute Care Providers: Moving toward Prospective Payment (N)

The Congress should require modest beneficiary cost-sharing for home health services, subject to an annual limit. Low-income beneficiaries should be exempt from cost-sharing.

  • Beneficiaries and coverage
  • Post-acute care

March 1999

Post-Acute Care Providers: Moving toward Prospective Payment (O)

The Secretary should evaluate all relevant case-mix and prospective payment methodologies for their utility in developing a prospective payment system for long-term hospitals.

  • Post-acute care

March 1999

Providers Exempt from the Acute Care Prospective Payment System (A)

To update and improve payments to providers exempt from the acute care prospective payment system, the Secretary should increase the market basket amount in the target amount update formula by 0.4 percentage points for fiscal year 2000.

  • Hospital

March 1999

Providers Exempt from the Acute Care Prospective Payment System (B)

The Congress should adjust the wage-related portion of the target amount caps on exempt providers to account for geographic differences in labor costs.

  • Hospital

March 1999

Providers Exempt from the Acute Care Prospective Payment System (C)

To update and improve payments to providers exempt from the acute care prospective payment system, the Secretary should encourage additional research in case-mix classification for psychiatric patients, with an eye toward developing a prospective payment system for them in the future.

  • Hospital

March 1999

Updating and reforming prospective payment for hospital inpatient care (A)

For the annual update to hospital inpatient payments under Medicare’s prospective payment system: The operating update of market basket minus 1.8 percentage points set in law for fiscal year 2000 will provide reasonable payment rates. An update of that level, which will be 0.7 percent if the current market basket estimate holds, is within the… Read more »

  • Hospital

March 1999

Updating and reforming prospective payment for hospital inpatient care (B)

For the annual update to hospital inpatient payments under Medicare’s prospective payment system: The Secretary should increase the capital payment rates for fiscal year 2000 by between market basket minus 3.0 percentage points and market basket minus 0.1 percentage point. With the current estimate of the market basket, this corresponds to an update of -1.1… Read more »

  • Hospital

March 1999