March 05,2008

Baucus, Grassley to hold Roundtable discussion on value-based purchasing in Medicare

CMS, health care organizations to discuss ideas for implementing value-based purchasing program


Washington, DC – Senate Finance Committee Chairman Max Baucus (D-Mont.) and Ranking
Member Chuck Grassley (R-Iowa) will convene a roundtable discussion on Thursday to examine
value-based purchasing of hospital care in Medicare. The roundtable will take place at 2:00 p.m.
on Thursday, March 6, in Room 215 of the Dirksen Senate Office Building. Currently, the
Medicare program works to increase transparency and quality of care by providing increased
reimbursement to hospitals that publicly report performance data. But many times the hospital
reimbursement system in Medicare pays hospitals more for poor quality care. Value-based
reimbursement would go beyond requiring data reporting alone, and would reward hospitals for
providing high-quality care, or for making improvements in quality. In Medicare demonstration
programs and in efforts already implemented in the private sector, such programs have
demonstrated an ability to improve care for patients. The Deficit Reduction Act of 2005 (DRA)
required CMS to submit a plan to Congress regarding a transition to value-based purchasing of
hospital care in Medicare.

Twenty-two health care organizations will take part in the event. Representatives from the Centers for Medicare and Medicaid Services (CMS) will present an overview of the Agency’s November 2007 report to Congress outlining the Agency's plan to implement a Medicare hospital value-based purchasing program. The roundtable will involve a discussion of key issues concerning quality measures, performance standards, incentives, and implementation of the CMS plan. Participants will present their views on both the positive and negative aspects of the plan, and how it can be improved.

U.S. Senate Finance Committee Chairman Max Baucus
U.S. Senate Finance Committee Ranking Member Chuck Grassley
Centers for Medicare and Medicaid Services
United States Government Accountability Office
Medicare Payment Advisory Commission
Association of American Medical Colleges
American College of Surgeons
American Hospital Association
American Nurses Association
American Organization of Nurse Executives
Billings Clinic, Billings, MT
Blue Cross Blue Shield Association
The Commonwealth Fund
Federation of American Hospitals
Harvard University
Health Affairs
Mercy Hospital, Council Bluffs, IA
National Quality Forum
National Business Group on Health
Premier, Inc.
Quality Alliance Steering Committee
Society of Hospital Medicine

Roundtable discussion on hospital value-based purchasing

Senate Dirksen Office Building 215
Washington, D.C. 20510

Thursday, March 6, 2008
2:00 p.m.

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