Hospitals to receive Medicare reimbursement

 
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Jan 05, 2008 - 04:01:24 CST
North Dakota hospitals retained Medicare reimbursement rates after congressional action.

The reauthorization of the Medicare Modernization Act extended a provision that leveled the reimbursement rate across the state for all hospitals. Without this provision, some hospitals in the state would have seen a decrease in reimbursement rates. President Bush has signed the bill.

"Our North Dakota hospitals and doctors were facing deep cuts, jeopardizing seniors' access to important Medicare services," said Rep. Earl Pomeroy D-N.D., a member of the Ways and Means Health Subcommittee, which has jurisdiction over Medicare. "I am pleased that Congress has reached a deal that not only averts these cuts but also preserves the rural health care safety net we fought so hard for in the Medicare Modernization Act."

Rates for hospitals are based in part on wages. The wages are compared to a national average, then adjusted for cost of living. The legislation uses the adjusted rate for Fargo's hospitals, which is a higher rate than what the other hospitals in the state would have received without the legislation. Without the legislation, the hospitals would have lost about $11 million a year in reimbursement.

"The passage of this bill is a big victory for North Dakota's hospitals and health care providers across our state. It extends vital programs that deliver quality care to our children, seniors and families, especially those in rural areas," said Sen. Kent Conrad D-N.D., a senior member of the Senate Finance Committee, which oversees Medicare.

The provision is retroactive to October 2007 and continues through September 2008.

Pomeroy, Conrad and Sen. Byron Dorgan, D- N.D., supported the passage of the legislation.

The legislation also provides a bonus payment for physicians in rural areas and cost-based reimbursement for labs at critical access hospitals. Also, reimbursement for long term acute care hospitals will increase. This affects a facility in Fargo and one in Mandan. The facilities could have lost $1 million a year in funding without this provision.

The bill also extends a provision for the special diabetes program until Sept. 30, 2009, will allow Indian Health Service and tribal groups to provide programs to prevent and treat diabetes. The bill also reauthorizes the existing State Children's Health Insurance Program, a program that provides health coverage for low-income, uninsured children. The program serves 6,300 North Dakota children without health insurance.

(Reach reporter Sara Kincaid at 250-8251 or sara.kincaid@;bismarcktribune.com.)
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Hospitals to receive Medicare reimbursement
Comments

RN wrote on Jan 9, 2008 10:46 AM:

" I agree with Eastward and What. I work at a local hospital and we've all heard the crying over the higher reimbursement that Fargo gets. As the article states they get that rate as their wages are higher, therefore the operating costs are more than in Bismarck. Bismarck then fought and got the higher reimbursement rate but did not pay their employees anything more to try and catch up to Fargo. They then lost the reimbursement for a few months. Now they just got the higher rate reinstated but as before they won't make any attempts to raise wages for those of us who are there taking care of patients. "

here we go again wrote on Jan 7, 2008 4:35 PM:

" To "What". The employees will still get their cost of living raise. What they have to try hard for (and not likely qualify for) are the merit raises. Only a small percentage of employees are expected to qualify. "

Leonard wrote on Jan 7, 2008 7:42 AM:

" To ???: Yes. I do have the experience to know what it takes to run a hospital but am not inclinced to post my resume to prove it. What readers don't realize is that local hospitals were in financial trouble prior to cuts just a few months ago. It was easy for them to blame the cuts they did make on the reimbursement they were set to loose if the wage index reverted to rates below the index enjoyed by areas such as Fargo. Don't be fooled that the problems are all caused by outside sources. Besides... this relief mentioned in the article is only temporary and soon we will be hearing even more desperate pleas for congressional assistance. I ask simply if the leadership of the two local facilities are up to the challenge of leading their organization back on to solid ground. I hope so but that means they would have to stay in Bismarck (not vacationing in Fl or PA) and take an honest, hard look at what is going on that caused the current problems. Honest question. Time will give us the answer. To seven gone-I enjoyed your response. I think your answer reflects your true knowledge on the topic. You know of what you speak. "

eastward wrote on Jan 6, 2008 11:43 PM:

" did you people read the article? medicare decided to reimburse the same as before. they are continuing with using fargo wage index for reimbursement. the last time this was an issue, about 3 years ago, medicare recognized bismarck as having the same wage index as fargo. with the same reimbursements, our hospitals were to meet fargo's wage index to avoid this problem. but as we saw, they did not do so, & in fact fell further behind. medicare cut the reimbursements at the end of 07 & pretty soon old andy & cooper were asking their empolyees to write letters & sign petitions to our delegation or they would cut jobs. mc1 cut out the parish nurse program & other hospital programs right away. our washington delegation came to their rescue again, & the wage index was recognized at the same level as fargo. i'm sure wilson & cooper will do the right thing & raise wages to be competitive with fargo so this doesn't happen in another 3 years. or maybe, like the past ceo's (tchider & broussau) they will just build another cabin on another lake somewhere here in nd. remember this in 3 years when we read the same tired story in the tribune & our delegation has to save jobs again. "

what wrote on Jan 6, 2008 6:52 PM:

" The money surely isn't going to the people taking care of the patients. Nurses that move here from Fargo take a huge pay cut. Now that St. Alexius is MAGNET, the requirements to get a merit raise as an RN this year is crazy. There are also other departments that are required to attend so many meetings, be on so many committees etc. before they can get a raise. So basically it is impossible for many of us to get a raise. Some RN's have to take a test that is very expensive and required for the raise. If we pass it, we will get reimbursed, if we don't pass it (which many RNs have experienced), we are out the money. They made it sound like MAGNET was going to be a big deal and there would be huge changes for employees. Who would have thought it would be worse! "

seven gone wrote on Jan 5, 2008 11:32 PM:

" to ???: excuse me, and just what pray tell might be your qualifications? speaking as an m.d. who became disenchanted with rural north dakota health care, and left - but sat in as chief of staff on organization meetings for facilities and discussions of programs, reimbursements, etc for years .... would you like a resume? maybe when you get off your bar stool you might indicate your qualifications.

yes, it's difficult to run health care in any budget ultimately determined 75 percent by medicare a.k.a. the federal government and its reimbursements. my note was only intended to show that the government merely indicated to rescind the cuts they had planned ... so there's really not much to celebrate in the first place ... as it is with government and the press reporting a story the illusion is created to "celebrate" the status quo, which as it stood earlier wasn't making it. in other words, the story induces one to feel grateful for the federal govt to merely do nothing ... imagine that !!!

as it relates to the way the money any facility makes and how they distribute it, well that's up to which ever one you deal with, and some do it better than others. but ask yourself the next time you watch tv and see all the commercials, or pick up the paper and see 1/2 page after 1/2 page of ads for this and that just where all the money is going. "

??? wrote on Jan 5, 2008 7:36 PM:

" To Leonard and seven gone: Do you guys even know what it takes to run a hospital? Maybe you should take a seat in these seat of the people who run the hospitals and see if you can do any better. It is not easy to run a hospital and especially when the reimbursement is not there. "

seven gone wrote on Jan 5, 2008 10:34 AM:

" leonard : i hope you're right, but intuitively i think you're wrong. any budget i've seen tends to expand past its limits, especially when money given from government for it is involved. besides, the article doesn't say that there'll be equity in reimbursements for services provided vs. other states --- something that supposedly dorgan, pomeroy, conrad and all have been working on (for how many years now?). the article as i see only indicates that there won't be cuts for next year, from what was anticipated. which means a freeze, which is in effect itself a cut, since there's an ongoing rate of inflation that the government somehow fails to perceive.

i'm sure their financial ship will not right itself ... and they'll be back to more whining for more government handouts soon in the new year, i think. "

Leonard wrote on Jan 5, 2008 9:43 AM:

" Now. Let's see if the local hospital can get themselves out of the financial toilet they have sunk in to. Does the current leadership have the ability to do it? We'll see. "

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