Capital costs 'cut' gives hospitals boost in pay; unintended 21% raise expected to be shortlived

Article Abstract:

The federal government increased its FY 1996 Medicare payments for hospitals' inpatient capital expenses by 21%, a category that represents 10% of all Medicare hospital expenses. The increase in inpatient capital payments increased overall Medicare payments to hospitals by 2%. The increase likely will be the last since Congress intends to cut Medicare spending by 4% which will reduce the capital increase to $393 per patient, down from $462 per patient. Ironically, many hospitals receiving the increase may have to close under the Republicans' plan.

Administration of Public Health Programs, Health Care Services, Medical economics, Medical care, Medicare

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Feds widening probe of doctor recruitment

Article Abstract:

The Inspector General's (IG) Office of the Department of Health and Human Services has joined with the Internal Revenue Service (IRS) to investigate possible fraud or abuse in hospitals' recruitment of physicians. Many types of inducements are currently seen by the medical establishment as standard practice. The IRS, with the IG's input, will release a memo clarifying the legality of recruitment practices by Mar 1993.

Finance, taxation, & monetary policy, Investigations, Physicians, Medical professions, Recruiting, United States. Internal Revenue Service, United States. Department of Health and Human Services. Office of Inspector General

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Clamping down on abuses; Medicaid tightens rules on state provider tax programs

Article Abstract:

Medicaid is strengthening rules designed to prevent state abuse of federal matching funds for tax refunds and donations from providers. Also, interpretation of rules for disproportionate-share will limit federal matching funds to 25% of a state's share of Medicaid expenditures. Medicaid matching fund payments are expected to rise from an estimated $2.5 billion in 1991 to $8.7 billion in 1992.

Laws, regulations and rules, Medical care, Cost of, Health care costs, Medicaid

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